GE Burning Out?
In the War Room, we often get emails and questions addressed to the Trading
Advisor regarding the Triple 9’s to Buy or Sell alerts. What does it mean? How
do I use them to trade off of? Like all of the alerts in TradersWire,
the Triple 9’s alert is not a stand alone indicator. What it is is an alert that
lets you know when 100,000 shares of a stock has been bid for (Triple 9’s to
Buy) or 100,000 shares offered (Triple 9’s to Sell). Extremely large bids and
offers for stock can alert you to a major development in that stock, or it can
give you an indication that institutions are buying or selling a stock.
General Electric
(
GE |
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Chart |
News |
PowerRating) has been showing Triple 9’s to sell over the
past two days. Since the stock is in both the Dow Jones Industrial Average
(
INDU |
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PowerRating)
and the S&P 500
(
SPX.X |
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PowerRating), which have been pulling back from
their recent lows, it is more than likely going to follow the action of these
two indices. The large offers are telling me that someone big has been selling
into the rally of the last couple of days, and GE could be heading toward a
retest of the March 22 low. GE is currently down 0.83 at 41.08, nearing the
trigger of the setup and closing in on a breakdown under yesterday’s low.
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Keep GE on your radar, and be on the lookout for follow through
to the downside over the next couple of days.
Until tomorrow,
Duke