 |
I like the Banks
But there is no need to rush
Banks have weathered the recent uncertainty and volatility quite well.
At the moment they look like they are going nowhere:
XFJ
Click to Enlarge
But further out after a pullback they look positive:
Click to Enlarge
And the long term picture looks even better:
Click to Enlarge
Over the next year or so we could see the old 2007 high taken out – at last – some ten years later.
But as I opined earlier – there is no rush.
Even if I put entirely aside the political ructions the markets are in need of a decent pullback.
If I do allow the global outlook to override my technical views I would have to say we will see volatility. No great surprise.
Not because of the USA but we are now facing a new global order – which is likely to be disorder. Markets don’t like political uncertainly.
Financial stocks I like include:
ANZ, BEN, BOQ, CBA, IAG, IFL, NAB and SUN.
Enjoy the ride
Tom Scollon
|