Join our community of traders FOR FREE!

  • Learn
  • Improve yourself
  • Get Rewards
Learn More

The sale of General Motors European arm, Opel, to PSA Group could be finalized as early as July 31st. It was in March, when both entities already said that the deal might be completed by the end of this year.

General Motors shares closed lower for a third consecutive trading session on Thursday. The stock went down 0.67% ($0.23) to $34.11, after touching an intraday low at $33.84, or a price level not seen since June 1st ($33.05). In the week ended on June 4th the shares of the largest vehicle manufacturer in the United States added 4.17% to their market value compared to a week ago, which marked a second consecutive period of gains and also the best performance since the week ended on February 19th. However, the stock has pared its advance to 0.53% so far during the current month, following a 2.05% drop in May. The latter has been a third consecutive month of share price decline. For the entire past year, General Motors shares added 2.44%.

On June 8th the US auto maker hinted that the deal could be finalized earlier than anticipated. “We confirm that the closing is expected to take place in the second half of 2017 as planned, and that the date of 31 July constitutes a first assumption for the earliest possible date, subject to the decision of the competition authorities”, Opel said in a statement, cited by Reuters.

According to a trade union source, a swift outcome from negotiations has been made possible, as General Motors formally agreed to safeguard plant jobs by signing binding contracts during the week ended on June 4th.

Under the agreements, employees at Opel Automobile GmbH, the new entity which is to be acquired by PSA Group, were granted co-determination rights. At the same time, General Motors assured that sufficient provisions had been put aside for the purpose of pension liability funding.

According to CNN Money, the 22 analysts, offering 12-month forecasts regarding General Motors stock price, have a median target of $39.50, with a high estimate of $52.00 and a low estimate of $31.00. The median estimate is a 15.80% surge compared to the closing price of $34.11 on June 8th.

The same media also reported that 13 out of 24 surveyed investment analysts had rated General Motors’ stock as “Hold”, while 9 – as “Buy”. On the other hand, 1 analyst had recommended selling the stock.

Daily and Weekly Pivot Levels

With the help of the Camarilla calculation method, todays levels of importance for the General Motors stock are presented as follows:

R1 – $34.14
R2 – $34.18
R3 (Range Resistance – Sell) – $34.21
R4 (Long Breakout) – $34.32
R5 (Breakout Target 1) – $34.44
R6 (Breakout Target 2) – $34.49

S1 – $34.08
S2 – $34.04
S3 (Range Support – Buy) – $34.01
S4 (Short Breakout) – $33.90
S5 (Breakout Target 1) – $33.78
S6 (Breakout Target 2) – $33.73

By using the traditional method of calculation, the weekly levels of importance for General Motors Company (GM) are presented as follows:

Central Pivot Point – $34.12
R1 – $35.20
R2 – $35.95
R3 – $37.03
R4 – $38.11

S1 – $33.37
S2 – $32.29
S3 – $31.54
S4 – $30.79

TradingPedia.com is a financial media specialized in providing daily news and education covering Forex, equities and commodities. Our academies for traders cover Forex, Price Action and Social Trading.

Related News

  • Southwest Airlines shares close higher on Tuesday, company releases preliminary traffic report for AprilSouthwest Airlines shares close higher on Tuesday, company releases preliminary traffic report for April Southwest Airlines Company (LUV) released on Tuesday its preliminary traffic report for April, according to which revenue passenger miles dropped 0.3% year-on-year to 11,202,109 during the month. In year-to-date terms, revenue passenger […]
  • Natural gas gains on warmer weather forecastsNatural gas gains on warmer weather forecasts Natural gas rose on Monday, extending last weeks gains as weather forecasting models pointed at above-normal temperatures in parts of the U.S., boosting demand for the fuel.On the New York Mercantile Exchange, natural gas for August […]
  • EUR/USD on frail positive territoryEUR/USD on frail positive territory The euro pushed higher against the US dollar on Thursday, as market players took profits, following the greenbacks expansion yesterday after the strong US new home sales report.EUR/USD pair touched its highest point for todays session at […]
  • Forex Market: GBP/CAD daily forecastForex Market: GBP/CAD daily forecast During yesterday’s trading session GBP/CAD traded within the range of 1.8308-1.8369 and closed at 1.8332.At 7:29 GMT today GBP/CAD was gaining 0.03% for the day to trade at 1.8344. The pair touched a daily high at 1.8352 at 6:00 […]
  • Forex Market: GBP/USD trading outlook for October 4th 2016Forex Market: GBP/USD trading outlook for October 4th 2016 Yesterday’s trade (in GMT terms) saw GBP/USD within the range of 1.2817-1.2948. The pair closed at 1.2842, plummeting 1.05% compared to Fridays close. It has been the 188th drop in the past 351 trading days and also the steepest one since […]
  • US stocks little changed amid jobless claims, housing dataUS stocks little changed amid jobless claims, housing data US stocks close mixed on Thursday, after the Federal Reserve’s decision to cut stimulus yesterday, as investors weighed economic data that included jobless claims and home sales.The S&P 500 lost 0.1% to 1,809.60 at 4 p.m. in New York, […]