Banks are feeling the pinch but is there a lot more weakness to come for financials

Index Analysis XFJ

 

XFJ – ASX200 Financials Sector

The Banks are under pressure today across the board and we see the potential for the sector to extend the move down. The key level now on the XFJ Financial Sector Index is around 6200 as if this can not hold up, we will see a strong move lower. Sellers are in control as we see a long term lower high at 7000 followed by a minor lower high around 6705. There is still some work to do but any further global weakness may see financials break down through key support.

 

Index : XFJ – ASX200 Financials Sector

Current Price : 6305

Status : On watch for extended weakness