[GE] chart suggests powerful selling is about to hit the markets.

As GE goes, so go the markets and the GE chart looks scary right now.  Here is the backlink and below is the model from that link.  The chart was at 24.47 then with the potential for a small move up into the pink rectangle before moving back downward.



In fact, that is exactly what happened so far so the model is looking very good at this point.  The chart extended upward weakly to $24.53 before heading back down.

So from above we have a very compressed and overlapping chart that is coiled like a spring.  It consists of:

black1, black 2
blue 1, blue 2
olive 1, olive2

Now lets zoom in even more and we can see that grey 1 is finished and has started up into grey 2.  The expectation would be that it gets to the level of the prior 4th but that is not a requirement.  All it needs is a-b-c and it could darned near claim that right now.

In fact, when including the extended trade in the picture we see a momentary spike that meets the minimum requirement.  So there is not really any need to hit grey 2 tomorrow AM, and it fact since this is a 3rd of 3rd of 3rd of 3rd then it might just gap down big time at the open.  If futures are down tomorrow hard then I will buy 1/2 position of UVXY in pretrade and then pick up the other half just after the open.  I doubt that GE is going down alone.  Today my GE puts were up 33%.  If GE gaps down they will likely be on their way to a 10 bagger or more before I have to sell them.