We do not know if we are in a bull market, even so a correction would have at least two up-legs with a pause in between which we do not have! So the correction may be bigger or we have a bull move; in either case we would start of with 5 waves up. Using the gap in the middle theory we should get to $9.75, so I would sell at $ 9.50 and see what happens thereafter.
If you own GE (you should as it traded well under $7/8 ) where to sell. Moving average (50-day) and trend-line are around $12. $10 would give you the proverbial 30%. The opening indication is just above $9 but the RSI is nowhere near the 50%= level that it typically returns to. On previous occasions it managed to do about $7 so from a low of $5.88 that would put it again at $12/$13.
By the way, GE might as well be a bank, see below correlation with S&P Financials
If you are still long the stock as per previous comments it is time to “calibrate†the trade, remember all we want is the sure part,not the gamble. Here is the chart.
Today’s 15% rise in the stock was almost predicable , if not in magnitude at least in direction,considering the comments yesterday on cutting dividends, see C. When a stock hits a bottom predicted at $26, it should turn and initially you have no idea if it was a minor low, or THE low or whatever. Only with hindsight that becomes clear so what you look for is the absolute minimum that the stock has to do. Regardless of whether a new bull market has started or whether there is just a correction the first 3 legs are always the same and KNOWN. In this case the a-leg was from 26 to 32 (about 6), the b-leg took back about half of that to about 29, now the c- leg should add 6 which brings us to roughly 35. There you should sell. Not only have you earned 34% (more than 30%) but from that point you simple do not know what is going to happen, otherwise known as gambling. There is always another train.
By the way, I think the stock can go much higher but the point is that that is not the point.
Like the EWN the EWJ is approaching some sort of critical point, with the Nikkei flirting with 7000 we may be closer than we think. A buy at this price of about $7, or, if you do not mind missing it at $6.50