GE update - very important for the broader markets too...

Check out my previous post on GE.  Below is the model chart from it which indicated that another push to close the gap was possible or it could be done retracing at the 61.8 fib.  Either would have been legal.  In the case of the red path, I modeled that we should see a gap down in the location of the red rectangle and then take out both of the rails of the HT. 


Here is the actual.  Just lucky again I guess, right S.C.E?  Look at the first gap right where the model expected it to be and then a completed wave right to the top rail which then bounced into olive 2 and then rapidly took out both the top and bottom rails during the 3rd wave.

I don't know that today was the near term bottom.  Perhaps we get some follow through tomorrow AM and then a rally up to the level of the prior 4th as shown.  I will note that the wave which took out both rails might not just have been a 3rd but rather a 3rd of 3rd so we could go even lower tomorrow before staging a reversal but soon there should be a 1-2 day rally as shown into blue 2 before this thing just breaks loose into a large 3rd of 3rd where everyone begins to recognize that nobody is there to buy the dip on this piece of shit stock.

As GE goes, so goes the entire market folks.  Do NOT stray far from your shorts, from UVXY, etc.  If you are an options guy looking for a good entry point, it would be as soon as we see wave 2 of 3 play out as shown below.  Of course, the real put buying signal for the entire market just happened IMO: GE broke down both rails of the HT.  That is a screaming sell signal IMO.