A healthy banking system is the hallmark of a growing economy. So when back stocks turn “south”, investors should tune in.
Like the broader stock market indices, the Bank Index (BKX) crashed in March before bouncing back into April.
That bounce has the Bank Index testing triple resistance at (1).
This area is market several trends and channel lines, all meeting up here!
Bullish message to Banks and the broad market = Breakout above triple resistance at (1)
Bearish message to Banks and the broad market = Banks turn lower just below triple resistance at (1).