Are these financial stocks ready to run? Let's see what the charts are telling us.
MS-Morgan Stanley- Is attempting to break free of it's intermediate term downtrend. It is finally holding above it's 50 day moving average line and is finally lifting it's head above the 200 day moving average as well. Today we saw a nice move higher on increased volume which means the institutions are starting to accumulate once again
C-Citigroup has popped back above it's 200 day MA and has since found support at it's 10 and 21 day moving averages. When a stock finds buyers at the 10 and 21 day moving avaerage levels, this let's you know that buyers are impatient and prices should head higher. The increase in volume on the up days also shows us that the big money is starting to show up again on the long side.
GS-Goldman Sachs- Looks to be regaining it's footing after all the negative press lately. It has regained it's footing back above it's old breakout and support level near $169. GS found resistance at the old January 2010 highs and gave us a very nice pullback into support at $169. The heavy volume move higher with an expanding range let's us know that the stock may be getting ready to test the old highs again.
BAC-Bank Of America-Doesn't look as hot as the other financial names. BAC has had a very strong run but has hit old highs and peeled lower. It found support at aggressive buy points such as the 10 and 21 day moving averages but this run appears to be fading. Today's action hitting new short term highs only to close at the bottom of it's day range on heavy volume is very bearish. This could indicate that BAC is topping over the short term and could see at least 1 10% pullback.
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