Traders often joke that there’s support at Zero. And then Crude Oil Futures traded negative and we threw everything we thought we knew out the window. Where was that in your model?
Anyway, this is the first thing that comes to mind when I think of the garbage that is, GE.
Next to Wells Fargo, this might be one of the worst companies on earth. It may actually be somehow worse. And by company, I don’t care what’s going on behind the scenes or who works there. I’m referring specifically to the stock, which is all that matters to us.
We’re looking at 2 plots, the price itself going back several decades, and the relative strength (or weakness, in this case), compared to the S&P500. Notice how after the peak in 2000, the next 2 peaks (where US Stocks moved on to new all-time highs), $GE put in lower highs. Also look at the relative strength line breaking to all-time lows: [Read more…]