Global conglomerate General Electric (GE) has been in a steady incline ever since the broader market’s 2009 bottom … yet despite the stock’s roughly 250% rise since then, it has barely recouped 50% of the big drop from late 2007 through early 2009.

In other words, GE’s steady and orderly incline that has occurred over recent years can easily continue over the coming months.

Given GE’s wide scope in businesses, it is a decent barometer for the economy. As long as the stock continues to rise in such a steady fashion, it is in my eyes bad risk/reward to bet against an economic recovery … at least in the medium-term.

The orderly rise is more visible in the 24-month chart below. Note how each advance was followed by a consolidation/mini-correction period, which allowed GE stock to then again gain enough strength to push higher. In this time frame, as long as General Electric holds above the $21.50 area, the pattern of higher lows and higher highs remains intact.

Most recently, General Electric rallied a sharp 15% off its April lows, just as the stock — as well as the broader market — looked to be breaking below key support levels. This latest rally, albeit steep, did bring GE right back to a resistance area around $23.90 (on a daily closing basis), which dates back to early March.

From here, while the market has gotten choppier in recent trading days, and while a strategy of trading breakouts isn’t working as well as it did just two weeks ago, a break above $23.90 would be bullish.

How far could the stock rise in the intermediate term upon a successful breakout?

Given General Electric’s wide array of businesses, much of the stock’s upside potential also will depend on what the broader stock market does. Assuming the S&P 500 doesn’t dive off a cliff, however, GE could move toward the $25 mark during the next two months.

Serge Berger is the head trader and investment strategist for The Steady Trader. Sign up for his free weekly newsletter here.