Monday, October 24, 2011

Financials Follow Up

Earlier I posted an update on financials and the last thing I said was to watch financials as they may lead the market.
Take a look at this chart.

Remember the post had a lot to do with relative strength? This is XLF in Green and SPY in red, at the white arrow they both make new highs at the red arrow only the SPY makes new highs as XLF hits resistance from the former high. Some times it's just these little clues.

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