Financial Stocks Rally Strong But Hit Key Resistance
As the market heads higher, the financial stocks lead the way. These gains continue to mount as concerns over Europe remain muted and economic news from China is strong. Stocks like JPMorgan Chase & Co. (NYSE:JPM) are up from a late November low of $28 and now hover at $38.00 per share. This massive spike is seen in almost all financial stocks.
While the gains are impressive, banks are nearing major resistance levels. These must be respected. The most obvious resistance point can be seen on Goldman Sachs Group, Inc. (NYSE:GS). This stock has now moved into the 200ma and a pivot top from October 20th, 2011.
Keep an eye on the financial stocks. As they go, the market goes. If the banks are putting in tops and ready to pull back, be ready for a market pull back.