But yesterday in the last 5 minutes of trading, the Banking index dropped and closed below its 3 month support line. ( See today's first chart below.)

So, the test was to be today ... would it retest the new resistance line or not? Or, would it just keep falling after breaking that 3 month support level?

See today's 11 AM chart below ...

Below is today's 11 AM Banking Index chart ...

At 11 AM the Banking index was down as seen in the chart below.

Actually, it went straight down until 10:51 AM when it became intra-day oversold with an upside divergence.

That means it should now move up and do some kind of retracement on today's down movement.

So now investors should watch to see how it closes. Even if it closes positive today, or has a nice upside retracement ... a lot of damage has been done.

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By Marty Chenard
http://www.stocktiming.com/

Please Note: We do not issue Buy or Sell timing recommendations on these Free daily update pages . I hope you understand, that in fairness, our Buy/Sell recommendations and advanced market Models are only available to our paid subscribers on a password required basis. Membership information

Marty Chenard is the Author and Teacher of two Seminar Courses on "Advanced Technical Analysis Investing", Mr. Chenard has been investing for over 30 years. In 2001 when the NASDAQ dropped 24.5%, his personal investment performance for the year was a gain of 57.428%. He is an Advanced Stock Market Technical Analyst that has developed his own proprietary analytical tools. As a result, he was out of the market two weeks before the 1987 Crash in the most recent Bear Market he faxed his Members in March 2000 telling them all to SELL. He is an advanced technical analyst and not an investment advisor, nor a securities broker.

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