GE has reached a ‘generational low,’ but trader says it's still a no-touch

Should General Electric stay in the Dow?

GE investors breathed a rare sigh of relief on Wednesday as the stock attempted to recover from its worst two-day sell-off since 2009.

As market watchers search for signs of a bottom in the beaten name, one technician warns investors should not chase the stock.

Looking at a chart of GE relative to the S&P 500, Ari Wald of Oppenheimer noted that the stock has fallen to a "generational low."

"If you bought this stock at any point over the last 50 years, you've underperformed, and as you can see, we're very much still in freefall here," he said Tuesday on CNBC's "Trading Nation." Wald noted that the next area of support for the stock comes in around $15 a share, more than 17 percent below current levels. "We'd stay away from this."

Gina Sanchez of Chantico Global agreed that GE's problems are far from over.

"What led GE to this point was 20 years of mismanagement, so you could argue that it might take that long to fix it," she said on "Trading Nation." "Whether or not it's fixable is a big question, because it's a huge company now, and [mismanagement has been] going on for so long that it [won't be an easy fix]."

The stock has tumbled more than 40 percent this year, tracking for its worst annual performance since 2009, but despite its precipitous decline Wall Street analysts expect some semblance of rebound.

According to data from FactSet, among 19 analysts who cover GE, the average price target on the Street is $22.40 for the battered-down name — 23 percent higher than where the stock was trading on Wednesday. Furthermore, of those 19 analysts, merely four rate it as a sell, with the average rating as a hold.

Shares of GE rallied around 2 percent on Wednesday.