I’m going to say something that might upset breakout traders today.
What if buying General Motors stock right now is exactly what institutions want you to do… while they prepare to sell?
Price action never lies; emotions do. Let’s break down why patience beats FOMO on GM stock.
Today I’m analysing General Motors stock, and I want to be very clear from the start: Buying GM shares right now is not a good idea.
Not because of news.
Not because of earnings.
And definitely not because of what analysts on TV are saying.
I’m focusing only on price action, supply and demand imbalances, and the bigger timeframes — where real money is made.
GM stock has rallied strongly on both the weekly and monthly timeframes.
And this is exactly where most long-term investors and swing traders make a classic mistake.
When price rallies aggressively:
Buying GM stock after a strong monthly and weekly impulse is like buying gym equipment on January 2nd — emotional, expensive, and usually followed by regret.
This is not how professional stock trading works.
From a supply and demand perspective, price is now extended.
There is no attractive demand imbalance at current prices that justifies buying GM stock.
Instead, price action strongly suggests that selling pressure is building.
Until price reaches one of these demand areas, GM stock is expensive, not attractive.
Smart money buys wholesale. Retail traders buy retail, usually at the top.
This is where emotions come into play.
Greed says: “It’s going up, I’ll miss the move!”
Discipline says: “I’ll wait for price to come to me.”
Trading — especially long-term swing stock trading — is the art of waiting. And waiting is uncomfortable. But that’s exactly why it works.
If GM stock drops into weekly or monthly demand, then it becomes interesting again. Until then, patience is the strategy.
If someone really wants exposure to GM stock right now, options stock strategies make far more sense than buying shares outright.
Why?
This is a much more professional way to approach GM stock when price action is overstretched.
Let me summarize it clearly:
Remember:
The market pays the patient, not the emotional.
If you want to learn to trade stocks, understand price action, and stop chasing markets at the worst possible moments, this is exactly the mindset you need.
And yes… GM stock might go a bit higher. But trading is not about might. It’s about probabilities.