BY BILL GRIFFO
October 28, 2023
Each week, I’ll give an overview of a stock and Licia Leslie will follow that up with a chart analysis the next day. Bill Griffo will chime in with macro analysis and Andrew Giovinazzi will then finish out the week with a volatility breakdown.
Have a stock YOU want us to review? Email my team here. – Mark
Hey Traders,
GE is currently being dragged down with the rest of the market …
This week has been a disaster for the market as credibility in our government, Fed and Treasury is fading fast.
GE is sitting just above support, which was a low on Friday Oct-20 two days prior to the earnings announcement.
Looking at the daily chart I see three levels of support below …
- $102 – This is the .236 fibonacci retracement, which comes in just above the 200-day MA …
- $89 – $91 – is my preferred level of support taken from the weekly chart because it sits just above an old high from May ‘21 and lows from 2011 …
Be Patient
Fear is building in this market … The market is fed, no pun intended, up with the Fed’s nonsense about economic resilience and now with multiple wars going on it is hard to see inflation coming down.
The result will be the most difficult economic conditions of high inflation and slow economic growth …
I also don’t see Powell saying anything that will make investors feel a need to put money to work in stocks when risk-free bonds pay 5% …
GE has made all the right moves but a falling tide will lower all boats so wait for a pullback and dollar cost average to lower your cost basis …
Live and Trade With Passion My Friends,
Griff
Bill Griffo
Head Income Trader
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