Financials had been the one area outside of biotechs that had held up relatively well in the past three weeks. After the disappointing results from the big two of Wells and JPM this morning, the rotational correction is coming to hit those names as well. They are smoking out every group at this point.
Yesterday's lame rally attempt helped to work off the quite oversold short term conditions and little else. The key issue for anyone with a holding period of more than 3 hrs is almost all stocks are failing to hold any form of breakouts. Until that changes it remains a difficult market to get constructive about other than off very oversold conditions and very short time frames.
Any securities mentioned on this page are not held by the author in his personal portfolio. Securities mentioned may or may not be held by the author in the mutual fund he manages, the Paladin Long Short Fund (PALFX). For a list of the aforementioned fund's holdings at the end of the prior quarter, visit the Paladin Funds website at http://www.paladinfunds.com/holdings/blog