General Electric – Cup and Handle Breakout

By | October 5, 2015

Shares of General Electric (GE) gapped up over 3% on the open, breaking above a confluence of rim line resistance in the $25.50 area, which included the 50 and 200 day moving averages. Today’s jump was preceded last week by moves in the relative strength index and moving average convergence/divergence above their respective centerlines. The accumulation/distribution line is above its rising 21 period signal average, and it is saying that the increase in volume over the last month is favoring the buy side. Discounting the “flash-like” lower candle price action in August, the pattern projects an initial target in the $28.50 area.

99934.GEchart

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