General Motors Company Looks Like It Could Be Ready To Breakout Soon

General Motors Company GM shares are trading higher Thursday in sympathy of Ford Motor Company’s F better-than-expected earnings.

The stock may also be moving in anticipation of GM’s earnings announcement. GM is scheduled to report second-quarter earnings on Aug. 4.

GM was up 3.23% at $57.28 at last check Thursday.

GM Daily Chart Analysis

• The stock looks to have traded in what technical traders call an ascending triangle pattern since early 2021.
• The stock trades below the 50-day moving average (green) but above the 200-day moving average (blue), indicating the stock is likely facing a period of consolidation.
• The 50-day moving average may hold as resistance, while the 200-day moving average may hold as support.
• The $60 level has held as resistance a few times in the past and the price has been unable to hold above it, the higher low trendline has acted as support and is building up to the resistance.
• The Relative Strength Index (RSI) started moving higher the past couple of weeks and now sits at 50. This means there are now equivalent buyers and sellers in the stock.

What’s Next For GM?

Bullish traders are looking to see the stock hold above the higher low trendline and continue to form higher lows until the stock can see a breakout.

Bearish traders would like to see the stock fall below the higher low trendline and be able to hold below it. This could let the stock see a further bearish push.

Photo: Courtesy of GM