Financial Stocks Jump Out Of the Gate
This morning, all of the leading financial stocks are trading sharply higher. This sector is extremely important for all traders to follow on a daily basis. When the financial stocks rally it is usually a good sign that the major stock indexes will hold up. Since the November 28, 2011 pivot low the stock markets have rallied higher by 8.0 percent. This is a huge move in such a short period of time and the rally has been led by the large financial stocks.
The Financial Select Sector SPDR ETF (NYSEARCA:XLF) is a very good way of tracking the financial sector. Today the XLF is trading higher by 0.22 cents to $12.95 a share. Short term traders can watch for some intra-day resistance around the $13.03, and $13.25 levels. The daily chart is now trading above the 20 and 50 moving averages which indicates a short term sign of strength.
Other leading financial stocks that are trading higher this morning include Jefferies Group Inc (NYSE:JEF), Goldman Sachs Group Inc (NYSE:GS), Deutsche Bank AG (NYSE:DB), and even Bank of America Corp (NYSE:BAC). Most of the leading stocks will follow the XLF very closely at this time.