Thursday, May 23, 2013

XLf - Financials

This is one of the weaker candidates.

I'll be watching though for a pullback in XLF/Financials and then... We won't enter ANY of these positions just on a pullback, they have to prove they have the short term accumulation to make them worthy of a trade.

Again I want to emphasize that the bounces to the upside I expect, are all very weak and the longer term or more important charts are very negative, so this is just like riding a bounce and then selling it and selling it short for the bigger move down.

For XLF, you can use FAS as a 3x leveraged equity long if you don't want to use options, when it is ready to reverse down again, you can use FAZ-3x bear financials.


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