If you're worried about trouble in the stock market, there's one sector you need to keep an eye on.
Banking stocks are the market's version of the canary in the coal
mine. If there's going to be a correction, it'll show up first in these
stocks.
The Financial Select Sector Fund (XLF)
broke out to a new high last week. And so far, it has been immune to
the volatility this week. That makes it tough – even for diehard
skeptics like me – to argue there's trouble brewing in the stock market.
But the momentum of the financial sector could change course at any moment...
Take a look at this chart of XLF...
The red lines represent the support and resistance lines of a
rising channel. It's a series of higher highs and higher lows – which is
bullish. (more)
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