Jan
19

Banks Remain Persistently Weak, Point to a Post-Holiday Selloff

By on Monday, January 19th, 2009 at 3:11 pm

In a virtual repeat of Thursday’s session, the S&P recovered from an intraday selloff to finish with minor gains Friday, fulfilling recent short-term bullish setups triggered on January 14th & 15th. The fact that the S&P once again managed to close positive despite trading down over 1.5% intraday was a negative development from an end-of-day perspective, as was the fact that this rebound occurred despite another steep 4%+ decline for the BKX (see the second half of Thursday evening’s column for details). While not triggering any new signals, Friday’s action tends to reinforce those short-term bearish setups on the board.

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