Financials Leading Re-Test Of November Lows

February 17, 2009 at 12:30 pm  ·  Category: Market Commentary, Technical Analysis

Today the S&P broke below 800 and the Dow came within 100 points of its November 21st intrday low.  The re-test is here!

Interestingly, most sectors are higher than they were back on November 20th – with the exception of financials which have been leading the latest down leg.  In fact, this whole selloff seems to be premised on a vague fear about nationalization and the endgame for the banks.

Volume and the VIX are both much lower than the intensity we had in November suggesting the lows should hold.

Posted by Greg Feirman  ·  Trackback URL  ·  Link
 

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