7.28.17 | BANK | Falling Wedge back to ResistanceBANK index: There is an enormous Adam and Eve double top forming inside the sideways channel. This may suggest that price is going to fall back to support. However there has been a lot of bearish divergence over the past two weeks and a corrective move bullish may push price into a breakout out of the sideways channel diverging from the bearish double top. As it stands right now price is in a very tight falling wedge at a major support zone which also is at the neckline for the double top. At the very least I expect price to breakout of the falling wedge to form the pull-back for the double top and anything more from this will be a corrective rally back to resistance and possibly through it. One thing to watch out for is capital moving out of the financial sector as APPL reports their earnings next week. There is a little bearish press in the market for Bank stocks right now but this may only reinforce the resistance of the channel it may not cause price to collapse completely. Again my expectations are a bullish pull-back to a rally back to resistance starting on Monday. Any bearish divergent price action and I will revisit the Adam and Eve Double top.
