The US Banking Sector has largely moved in tandem with our own although for a nice change the Australian sector has outperformed. We believe there are 2 things to bear in mind at this stage of the influential sectors advance from its panic COVID low:
- Short-term a test of the 450 area looks likely although the upside momentum is sending mixed signals.
- The major rally from its March’20 low appears close to completion implying a deeper correction is on the horizon.
MM believes US Banks will test both 10% higher & lower over the next 6-months
