(Excerpt from Monday's Forecasts)
So just one more chart I wanted to share, as you probably know, I consider the banking sector to be the most critical group in the market, we got a taste of what it's like to fail there in the 2008 crash... We know there's a big bank in trouble out here and it's DB of Germany with huge losses in their derivative exposure... it's probably only getting a lot WORSE given the recent events... including a disastrous quarterly report on Friday... Here's a WEEKLY CHART I drew up this weekend that shows the upper downtrend line, and we can see it was able to close over it once and the REJECTION ON ACCELERATING WEEKLY VOLUME is under way... the next very critical support on the way to testing the low now is going to be 16... DB closed at 17.09 on Friday, down well over $1 on MUCH STRONGER VOLUME... with an eventual target of the previous $11 lows as long as this momentum continues... and look for a bounce at 16... we'll see if it gets there.
