NASDAQ BANK INDEX ready to reverse ? LONG
Updated
BANK is tracking bank stocks within the NASDAQ. I cannot find if it is market cap weighted or
instead an unweighted composite I wanted to check this out to see if the banking sector might
reverse and perhaps have some trade candidates based on relative strength or even
rising trading volumes.
On the 15 chart, BANK's price is in a descending channel or wedge. It is too early to tell if
it is breaking out although it is sandwiched between the SMA10 and SMA20 as so in limbo at
least of this time frame. The MACD indicator shows downgoing lines that had crossed one
another above the histogram. This appears to be a bearish divergence. The mass index shows no
signs of a rise into the threshold and trigger zone as it did on January 31st.
Overall, I conclude that the price is still in the channel and not yet an early breakout. I will
recheck this at intervals. Once a breakout is confirmed and even retested, I will find
some relatively strong bank stocks from which to pick a long trade at a low pivot for
a safe high return from the upside shown.
instead an unweighted composite I wanted to check this out to see if the banking sector might
reverse and perhaps have some trade candidates based on relative strength or even
rising trading volumes.
On the 15 chart, BANK's price is in a descending channel or wedge. It is too early to tell if
it is breaking out although it is sandwiched between the SMA10 and SMA20 as so in limbo at
least of this time frame. The MACD indicator shows downgoing lines that had crossed one
another above the histogram. This appears to be a bearish divergence. The mass index shows no
signs of a rise into the threshold and trigger zone as it did on January 31st.
Overall, I conclude that the price is still in the channel and not yet an early breakout. I will
recheck this at intervals. Once a breakout is confirmed and even retested, I will find
some relatively strong bank stocks from which to pick a long trade at a low pivot for
a safe high return from the upside shown.
Note
Index price is sideways still below SMA50 no worries patience has its rewards ( in due time)Note
NYCB a potential reversal trade ?msn.com/en-us/money/markets/new-york-community-bank-says-deposits-are-up-and-liquidity-is-ample-but-stock-drops/ar-BB1hUIUA
Note
Sideways. no new catalysts bearing good or bad news.
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