Financial Sector (XLF), Attempted Breakout
Financials (XLF as proxy) is attempting to break above resistance. A failure at this point, posts an up-thrust and significant downside potential.
Inverse fund: FAZ (not a recommendation)
Financial sector (XLF) at a top.
Financials (XLF as proxy) have posted our sought after spring to up-thrust set-up.
The Fed announces their usual round of shenanigans (Wednesday at 2:00 p.m. EST), so anything can happen. However, the top may be in for the current trading range: 22.00 – 30.50.
A very tight stop for a short position is just around the session high at 30.36.
From my own firm’s standpoint, we typically do not have stops ‘in-the-market’ but instead monitor price action; then determine if/when a stop is penetrated, whether or not immediate exit is warranted.
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