General Motors Company GM shares are trading lower on Tuesday. They may also be breaking support.
Stocks that break support tend to head lower and that could be the case here. This is why our team of technical analysts have made it our Stock of the Day.
Some analysts don’t understand technical analysis. They try to identify patterns on charts without understanding the price action that causes them to form.
If understood and applied correctly, technical analysis is the study of supply and demand in a market.
If a stock is trending lower, there isn’t enough demand, or buy orders, to absorb all of the supply, or sell orders. As a result, investors and traders who wish to sell are forced to offer their shares at a discount to…
