One of the main reasons that I am taking an intermediate term bearish stance on the market is due to the banking sector which continues to get hammered. There have been some banks holding above their Jan/March panic lows while others have been setting new lows. I was first turned on to the idea that the market topped when I saw that the banking sector topped and started heading lower.
The banks led us down in Jan and March and led us back up to the recent high we just set. Now, they are again taking leadership to the downside. This is NOT what you want to see. We haven't seen the XLF or the UYG challenge their respective spike lows from earlier this year but we want to be on guard because we see alot of individual stocks breaking. Let's take a look at a few charts.
Let me be clear, these are intermediate term views of these banking stocks and not to be confused with short term pops that could occur at any time. The broad market could bounce on the short run which could lead some of these a bit higher.
