GM ROCKETS 7% AS HIGHER PRICES BOOST Q3 PROFIT
General Motors is currently trading at 35.92-higher by 7.02% as compared to the previous closing. In Pre-market trading on Wednesday, the stock was traded as high as 10% up on yesterday’s close. The stock has cut some of its earlier gains after the opening bell.
General Motors reported its Q3 earnings before the market opened on Wednesday. The company reported adjusted EPS of $1.87, above the market estimates of $1.25. Revenue was also above the market expectation.
The Detroit automaker also disclosed that it sold fewer vehicles during the third quarter, but at higher prices which helped the company deliver a better-than-expected earnings report.
The GM CFO said on a conference call that the company expects fourth-quarter performance to be strong, with solid sales of highly profitable crew-cab trucks.
On the technical front, the RSI is currently at 65.53% and suggests that the market can move in the upward direction. The current price is above the MA5. The %K has crossed the %D from below to the upside at around 20% and suggests that the market may head upwards
Overall Bias is Positive and short-term trades can be initiated with tight Stop Loss and Profit targets.
TRADE SUGGESTION-LIMIT BUY AT 35.75 TAKE PROFIT AT 36.35 STOP LOSS AT 35.45