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Wednesday, August 18

Bank Of America is still running up

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From the past 4 days price action, we can see that there are many short players trying to short the hell out of financials. BAC is one stock that has been hammered hard. WFC is another one. However, buyers have emerged and the support line is held firmly. A slight optimistic news such as the upcoming unemployment claims may give jolt to this stock and pump it to the $14s.

NEWS that have created instability in this stock and financials alike.

- FED’s mortagage plan.
- Growth in demand of Mortgages
- Credit Card charge off declines, lower credit
- Housing Sales
- Unemployment claims

Financials have been hammered as funds are trying to see if a double dip may happen, financials being the most vulnerable if a double dip truly emerges. This is why some funds have been selling financials and buying technology instead.

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