Bullish on economy temporary recoveryInverse head and shoulders with SP500.
USBANKS COMPLETED BEAR WEDGE.
Since US banks and SP500 have a higher 70-99% correlation, the prediction is that the banks will start a new pattern with its correlation with the SP500 temporarily recover Bullish to complete the inverse Head and Shoulders Pattern while starting a new pattern for the US banks
USBANKS trade ideas
FXCM USBANKS Basket Hourly Rally in Longer-Term WeaknessFXCM's USBANKS basket is in the bearish area on the daily chart on the left. The basket is an equal weighting (20% each) of JPM, BAC, WFC and C. A bearish cross of the EMAs and stochastic potentially align short-term traders with the daily. If signals occur, movement of stochastic to 20 level and maintenance of that level increase the chances of a successful trade. Trend following indicators may be useful in this case as a potential exit tool. Stop above hourly high in conjunction with risk management techniques.
