GM General Motors Weekly Chart; Overbot; Rising Wedge; Negative Divergence; Upper Band Violation; Price Extended

GM CEO Mary Barra stands on the hood of a glorified golf cart (EV) and proclaims, "I think we're at the beginning of where you'll see GM's stock move." Well, she is correct but she comically has the direction wrong. Why these CEO's do not consult a chart technician before they stick their foot in their mouth is always a mystery.

The GM weekly chart is cooked. If you follow Mary's advice, you will be the little lamb led to slaughter. If you made money on the rally, take it and do not look back. GM is set up for a multi-week pullback. GM is overbot and the rising wedge pattern is ominous. The redlines show universal neggie d. Price violated the upper band so the middle band at 46.65 is in play as well as the lower band at 34, both rising. Price is extended and needs a mean reversion.

GM has not touched its 20-week MA since last July and has not touched the lower band since March of last year one year ago. The investment houses that think they are smart have been loading up on this about to be turd. Good. They will lose their money. Take it from them.

The ADX pink boxes show that the drop in early 2020 was real and strong but that petered out as summer approached and the Fed and Congress were printing money like madmen to save the stock market and always protect America's wealthy class. The pink box now indicates a strong trend but note how price has now made a higher high but the ADX is reversing; it topped out. The strong trend may  be lost going forward which would be expected considering the sick chart. Everything you see is bearish.

The Aroon red line is maximum bullish euphoria at one hundo and ditto the red line at zero. There is no direction to go in except down from the pinnacle. Keystone is not in GM long or short but owns lots of shorts across the board currently. Let's see what the hourly and daily timing is if you want to play it short.

Oh, coolio. The daily chart is an infamous triple top that is not supposed to exist. Usually they hold half the time and they give way to the upside and disappear the other half of the time. The indicators are in negative divergence calling a top on the daily chart although there is VST momo due to Barra's pumping. The GM 2-hour is good for shorting now. GM can be shorted going forward on the weekly basis. Throw down a short today and hold it a few weeks or scale into it over next couple weeks and hold for a few weeks.

If you bring up the GM monthly chart, there is some juice remaining in that time frame. So the way the year will go for Barra is a drawdown in GM stock over the coming weeks; the 40-45 area may be a good landing zone. Mary will be pounded that she said the stock will go up but it will be pummeled on the weekly basis. Then, say in April or early May when it bottoms, that will be time to consider a GM long. Barra will feel vindicated and climb up onto a Bolt and, as she puts a dent in the roof with her high heels, decrees that she was correct and the stock is at its highs again and will go to the moon. This will occur in the May-July time frame but that will be a long-term top for General Motors.

Keystone has ran muscle cars all his life and has been a Chevy man but that loyalty will end with the EV crap. But this is an old school motorhead mentality that had Camaro and Nova Supersports that ran over 120 MPH. In high school, we would dump oil in the high school parking lot and do burnouts. We used to race like you see in movies like American Graffiti. What adventure. Cruisin' and boozin' raisin' Hell. Go Johnny Go. Us old guys want to smell the gas fumes during our remaining years. There is no use in owning an electric car when a gas station is on every corner. The USA is stupid for not pursuing natty gas vehicles instead of EV a technology that has been around for over a century. This information is for educational and entertainment purposes only. Do not invest based on anything you read or view here. Consult your financial advisor before making any investment decision.

Note Added 11:57 AM EST: GM 57.99. No, check that, now 58.05. HOD 58.14. Wheeee! Whoopie! Mary is dancing on top of the Bolt. The fans go wild. Electric golf carts rule! It is funny. A once strong and noble automobile manufacturer, after many decades, is now reduced to making golf carts. New HOD at 58.18. Wheeee! Employees and shareholders unite forming a conga line that snakes past the cafeteria tables. Barra plans to ride that Bolt golf cart to 100.

Note Added 12:03 PM EST: Cough. Ahem. Whazzat? GM is at 57.95..... 57.90 ...... 57.88 ...