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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