Today’s Big Stock

General Motors Company is a global automotive company. It develops, produces and markets cars, trucks and parts worldwide. General Motors also provides automotive financing services through General Motors Financial Company, Inc. (GM Financial), formerly AmeriCredit Corp. These financing operations consist principally of financing automobile purchases and leases for retail customers. General Motors operates in five segments: GM North America, GM Europe, GM International Operations, GM South America and GM Financial. GM Financial is an automotive finance company. GM Financial purchases automobile finance contracts for new and used vehicles purchased by consumers primarily from franchised and select independent dealerships.
To review potential trading opportunities with General Motor’s stock, please take a look at the 1-year chart of GM (General Motors Company) below with my added notations:
After a 7-month trend lower, GM formed what appeared to be a Double Bottom (blue) price pattern. The pattern is as simple as it sounds: Bottoming (B), rallying up to a point, selling back off to the same bottom (B), and then rallying back up again. As with any price pattern, a confirmation of the pattern is needed. GM confirmed the pattern by breaking up through the $27 resistance (navy) that was been created by the Double Bottom pattern. The stock added validity to the confirmation with the increased volume activity on the day of the breakout (brown).
Keep in mind that simple is usually better. Had I never pointed out the Double Bottom pattern, one would still think this stock is moving higher if it simply broke through the $27 resistance level.  In short, whether you noticed the pattern or not, the trade would still be the same: On the break above the key $27 level.
The Tale of the Tape: After a 7-month downtrend, GM formed a Double Bottom price pattern with a $27 breakout resistance. A long trade could be entered on a pullback to the $27 support with a stop placed under that level. 
Before making any trading decision, decide which side of the trade you believe gives you the highest probability of success. Do you prefer the short side of the market, long side, or do you want to be in the market at all? If you haven’t thought about it, review the overall indices themselves. For example, take a look at the S&P 500. Is it trending higher or lower? Has it recently broken through a key resistance or support level? Making these decisions ahead of time will help you decide which side of the trade you believe gives you the best opportunities.
No matter what your strategy or when you decide to enter, always remember to use protective stops and you’ll be around for the next trade.  Capital preservation is always key!