I mentioned on my “Outlook” blog that the US banks are amongst the holdings we at ValueTrend have rotated into. It’s a sector that might benefit from a potential move from the high flying tech stocks into the more overlooked sectors on the market. We hold a position in the BMO US bank ETF (ZUB-T) in Read More
Opportunity in US banks
Recently, I wrote a commentary on the Canadian banking sector. My general comments were that the sector may have broken the neckline of a potential double-topping formation – and that we want to watch the sector for a neartermed bounce off of $27 (for the ZEB units). We did get that bounce. I also warned Read More
US banks are like a crazy train
I’m humming Ozzy Ozbourne’s song “Crazy Train” as I write this blog. Talk about a parabolic move. The US banks—small and large—launched aggressively after the election. The index has risen from 225 to 280 in about 20 days. That’s 24% in 20 days. Needless to say, we have overbought momentum indicators, and a vertical Read More
Don’t buy the US banks until they break out
I watch the BMO Equal Wt. U.S. Bank ETF (ZUB-TSX) as my benchmark for that sector. I’ve traded it successfully in the past – my last trade being a buy in October 2013, and a sell in March of this year. This ETF is TSX listed and hedged to the C$. Right now, I Read More
Comparing charts: US. vs. CDN banks
Canadian banks Our banks are looking technically strong as they finish their earnings season. However, I will not be buying back into the Canadian banking group just yet (truthfully, I’m not buying anything just yet—see https://www.valuetrend.ca/?p=2415) . There are a few reasons behind this decision > First, the sector is overbought, from a traditional momentum Read More
Are US banks about to break out?
Bankers are the people we love to hate – especially the big US banks. Nobody likes them. Occupy Wall Street participants don’t like their ethics. Investors don’t like their stock returns. Regulators have uncovered their dirty laundry Trading losses and scandals plague many of them Customers need ‘em, but don’t love them. Despite it all, Read More