GM rockets, gaining $2.45 (7.05%) within a single day on high volume
General Motors Company (GM) Technical Analysis Report for Jan 11, 2019 | by Techniquant Editorial Team
GM finished the week 11.55% higher at 37.18 after surging $2.45 (7.05%) today on high volume, notably outperforming the S&P 500 (-0.01%). This is the biggest single-day gain in over two months. Today's close at 37.18 marks the highest recorded closing price since December 3, 2018.
Daily Candlestick Chart (GM as at Jan 11, 2019):
Friday's trading range has been $1.72 (4.7%), that's far above the last trading month's daily average range of $1.29. Weekly volatility is also higher, being way above the market's average weekly trading range. The longer-term, monthly volatility is currently slightly higher than usual for GM.
General Motors managed to close above the 200-day moving average at 36.81 for the first time since December 3, 2018. When this moving average was crossed above the last time on November 30, 2018, GM gained 1.32% on the following trading day.
Crossing above the upper Bollinger Band for the first time since December 3, 2018, prices have shown unusually strong upward momentum in the short-term. This might either indicate a potential buying climax after which prices could head back down towards the mean of the Bollinger Bands at 34.23 or signal the beginning of a strong momentum breakout leading to even higher prices.
The trend is clearly bullish, showing an intact uptrend in the short, medium and long-term.
Among the nine market conditions that our pattern recognition engine identified today, the statistics for the Technical Indicators based market condition "Close above the upper Bollinger Band" stand out. Its common bullish interpretation has been confirmed for General Motors. Out of 110 times, GM closed higher 50.91% of the time on the next trading day after the market condition occurred. The optimal exit for swing trading this condition on the long side has been after 10 trading days, showing a win rate of 57.27% with an average market move of 0.98%.