Advertise | Bookmark | Contact Us | E-Mail List |  | Update Page | UraniumSeek.com 

Commentary : Gold Review : Markets : News Wire : Quotes : Silver : Stocks - Main Page 

 GoldSeek.com >> News >> Story  Disclaimer 
 
Latest Headlines

Gold Seeker Weekly Wrap-Up: Gold and Silver Close with Modest Losses but Miners Gain on the Week
By: Chris Mullen, Gold Seeker Report

Ira Epstein's Metals Video 11 24 2017
By: Ira Epstein

Life Under Manipulation
By: Theodore Butler

Legendary investor names his top junior resource stock picks right now
By: Peter Spina, President, CEO of GoldSeek.com & SilverSeek.com

Silver Minersí Q3í17 Fundamentals
By: Adam Hamilton, CPA

Deflation must be embraced
By: Alasdair Macleod

Goldís 47-Year Bull Market
By: Steven Saville

Taxes, Macro Signals, Seasonality, US Stocks and Gold Miners
By: Gary Tanashian

The Key to Profitably Ending Precious Metals Price Suppression And Other Markets Manipulation!
By: Deepcaster

The Precious Metals Bears' Fear of Fridays
By: Dimitri Speck

 
Search

GoldSeek Web

 
Forget the Yield curve- banks stocks are a bargain


 -- Published: Wednesday, 14 October 2015 | Print  | Disqus 

By Sol Palha

A wise man will make more opportunities than he finds.
Francis Bacon

The press is giving too much credence to the effect an interest rate hike would have on the markets and on the financial sector. First of all, the fact that the Fed has been debating whether or not to raise rates by a paltry meaningless 0.25 basis points speaks volumes. The Fed clearly understands that this recovery is nothing but smoke and mirrors; the main driving force behind being hot money.

Secondly, deflation is more of an issue than inflation. Take a look around you. You can start with Oil and go down the commodity rung; copper, Iron ore, coal, etc., are all trading significantly off their highs. Instead of marching to the drum beat of the naysayers, march to your own drumbeat; opportunity could be in the air.

 

Letís take a look at the once mighty Citibank. The long-term chart certainly looks terrible and the stock appears to have made hardly any headway since 2008. One could simply state that Citibank has not made much headway because it is a rotten stock, but other than perhaps bringing on a brief moment of satisfaction, it would change nothing. However, if you discard the lens of negativity and take a look at the chart in an unbiased manner, you might spot something many others are missing. We will at this chart shortly. Are all the regional banks suffering like this? Logic dictates that there are strong players out there; take a look at the picture below:

 

 

PNC bank appears to be thriving and the stock is trading well above its 2009 highs. One thing is certainly clear, every major market crash, proved to be nothing but opportunity knocking in disguise. If one understands the principles of mass psychology, then just by utilizing this one tool you could do rather well, provided you are patient and buy when there is panic and sell when the crowd is Euphoric. Donít mistake bullish with Euphoric.


PNC is likely to test 72, with a possible overshoot to 67 before it attempts to challenge 100.00. As long as it does not close below 50 on a monthly basis, the outlook will remain bullish.

 Now letís take a look at Citibank but through the eyes of an observer. An observer starts off on neutral ground and examines the data through a neutral lens.

While others might view the chart as disastrous, we see a potential opportunity. Notice the massive channel formation. The longer the channel formation, the stronger the breakout is when it finally occurs.  As it has pulled back so much from its highs, the breakout is likely to occur to the upside.  A monthly close above 63 will virtually guarantee a move to the 100 and then 150 ranges.

Suggested strategies for those willing to take on a bit of risk

Two options are available.

Option number one:

Wait for a pullback to roughly the 38.00 ranges and then purchase LEAPS; these are options that have more than one year of time on them.

Option two:

Wait for a monthly breakout above 63.00 and then purchase leaps.  The stock in question is Citibank. If you are looking for some of the strongest regional players, then you could put the following technique to use on PNC, BKU, STI, JPM, etc.  


| Digg This Article
 -- Published: Wednesday, 14 October 2015 | E-Mail  | Print  | Source: GoldSeek.com

comments powered by Disqus



 



Increase Text SizeDecrease Text SizeE-mail Link of Current PagePrinter Friendly PageReturn to GoldSeek.com

 news.goldseek.com >> Story

E-mail Page  | Print  | Disclaimer 


© 1995 - 2017



GoldSeek.com Supports Kiva.org

© GoldSeek.com, Gold Seek LLC

The content on this site is protected by U.S. and international copyright laws and is the property of GoldSeek.com and/or the providers of the content under license. By "content" we mean any information, mode of expression, or other materials and services found on GoldSeek.com. This includes editorials, news, our writings, graphics, and any and all other features found on the site. Please contact us for any further information.

Live GoldSeek Visitor Map | Disclaimer

The views contained here may not represent the views of GoldSeek.com, its affiliates or advertisers. GoldSeek.com makes no representation, warranty or guarantee as to the accuracy or completeness of the information (including news, editorials, prices, statistics, analyses and the like) provided through its service. Any copying, reproduction and/or redistribution of any of the documents, data, content or materials contained on or within this website, without the express written consent of GoldSeek.com, is strictly prohibited. In no event shall GoldSeek.com or its affiliates be liable to any person for any decision made or action taken in reliance upon the information provided herein.