Monday, September 27, 2010

Head & Shoulders In The XLF

While most seem to be enamored with the recent head and shoulders bottom in the broader stock market indexes, a relatively small pattern formation, a large text book head and shoulders top has formed in the XLF which projects below 11.44 if triggered. Although there has been some mention of weakness in the financials in the media, I haven't seen anything anything about this bearish formation. Which pattern would you give more weight: the one widely mentioned in the media as was the supposed H&S top last year that failed, or the one above that has received almost no attention?

No comments: