• Banks Are Creating A 2007-Like Topping Pattern

    25 days ago - By ETF Daily News

    Technical analyst Chris Kimble looks at a long-term chart of an important bank stock index and sees potential trouble ahead.
    The left chart above looks at the Bank Index over the past 13-years. In 2007, the index diverged with the broad market as it was creating a bearish descending triangle. Once support of the descending triangle broke, selling pressure ramped up. This pattern took place while “interest rates were actually moving higher, which is often good for banks.”
    This year the bank index has been diverging from the broad market while forming a bearish descending triangle. As this...
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