Financials Relatively Weak To Huge Rally

Discussion in 'Trading' started by dsq, Aug 8, 2008.

  1. dsq


    strength is in ba,mmm,pg,cat,dd....i would expect to see 3pt gains in financial stocks but see mostly 1pt or less...bac might be setting up for a good short next week.
  2. Weak? The Philly Bank index gained 32.5% relative to the SP500 since the middle of July. It's outperforming the broad market by 1.3% today.

  3. dsq


    was referring to todays rally.

    single pt gains in bac c wb not impressive when market is up 300pts.
  4. Philly Bank Index +3.6%, SP500 +2.4%. Banks are outperforming today. Case closed.
  5. dsq


    ya ,sure...bac,c,wb,mer closed up less than a buck...pretty weak relative to what they normally do on a huge rally...they usually rally multi pts not pennies....
  6. I guess you haven't recognized the fact that the market ROTATES from one group to another . . . Not necessarily a sign of "weakness" as you have implied with the financials. Simply a broadening-out of the leadership to other groups as the market heads higher.

    ie.) Aerospace and Defense was one of the market leaders today . . . +3.17%

    LMT, LLL, GD, BA, PCP, RTN, and NOC with huge multi-point gains!
  7. dsq


    you didnt recognize that i said this might be setting up for a good short.