[GE] update

Backlink.

So far the wave count is only 1-2-3 down.  Until we get 5 down we have to be open to the possibility that is is a 3 wave pullback that the dip buyers will overcome.  Of course, the action on UVXY strongly suggests that this will not be the case since it is green these days even when the broader markets are up big time.  Something is very, very wrong with that from a bull's perspective.

GE current snapshot is below.  As GE goes, the economy goes.  That breakdown was significant and now after a few days of rally we are just trying to kiss it from below as a rising wedge forms.  Nobody can tell the future but I can tell you that the ODDS do not like this setup at all.

A gap up above that line would give me serious cause to reconsider that view but chances are this will be an electric fence to the herd.



Zooming in, all I see is a WC retracement to the prior 4th of the current wave.  I do not expect September to be kind to these shares or to the broader markets.  But like I said, if we see a gap up above that rising slope resistance line then I will have to begin reconsidering that view.  I think the odds of this happening are low, to say the least.