Current trend

The securities of General Electric Co., an American diversified corporation, have been adjusted downwards to a long-term uptrend for the third week in a row.

The price turned around from the level of 117.19 (Murrey level [7/8]), moved into the negative zone and is currently consolidated below the reversal level of 109.38 (Murrey level [2/8]), which will allow the instrument to decline to 106.25 (Murrey level [0/8]), 104.69 (Murrey level [-1/8]) and 103.12 (Murrey level [-2/8]). The level of 112.50 (Murrey level [4/8]), supported by the midline of Bollinger Bands, is the key for the "bulls". If it is re-consolidated above it, the price will return to the positive part of the main Murrey trading range and continue growing towards the targets of 115.62 (Murrey level [6/8]) and 117.19 (Murrey level [7/8]).

Technical indicators allow for the continuation of the decline and the formation of a new downtrend: Bollinger Bands are reversing down, MACD is increasing in the negative zone, and Stochastic has reached the oversold zone and may reverse up, which does not exclude the continuation of growth, but its potential is limited.

Support and resistance

Resistance levels: 112.50, 115.62, 117.19.

Support levels: 106.25, 104.69.

Trading tips

Short positions may be opened from the current level with targets at 106.25, 104.69 and stop-loss at 110.40. Implementation period: 5-7 days.

Long positions may be opened above 112.50 with targets at 115.62, 117.19 and stop-loss at 111.40.