By: Scott Redler
The banks have lagged the market lately, with Goldman Sachs (GS), the leader of the pack, no exception. Today Goldman broke its recent downtrend line and triggered a long entry in the $165.50-166.50 area. Our first target sees prices move up to the 50-day Simple Moving Average at $170.
If this breakout in Goldman can sustain and lead the financial sector higher, the outlook looks favorable for the Bulls into the New Year. We continue to see healthy sector rotation in the market and as traders, we will remain nimble and move to the “in play” sectors. For now, that next opportunity is in Goldman Sachs.
Have a Happy and a Healthy New Year!