Until the XLF breaks out of this channel, I am nervous about
getting very aggressive on the short side. It hasn't really budged
today -- maybe because the spread has actually widened which means
that the banks get to print more free money. At some point this
game will end, but I am not going to try to guess when that will
be. But -- the XLF is beginning to show some divergences.
you make a great point this and the broker dealers both need to
fail if the short side of the market is going to happen. The stoch
has started turning down something to watch>
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XLF should tell us a lot
Posted by puma on 24th of Mar 2010 at 02:21 pm
Until the XLF breaks out of this channel, I am nervous about getting very aggressive on the short side. It hasn't really budged today -- maybe because the spread has actually widened which means that the banks get to print more free money. At some point this game will end, but I am not going to try to guess when that will be. But -- the XLF is beginning to show some divergences.
EDIT: DON'T KNOW WHY IT POSTED THE CHART TWICE
xlf
Posted by rkelman on 24th of Mar 2010 at 04:21 pm
you make a great point this and the broker dealers both need to fail if the short side of the market is going to happen. The stoch has started turning down something to watch>