Hey mate, is this purely TA ? I was thinking maybe they would actually go up in the next few weeks or months due to several reasons that include:
-Royal Commission has already been priced in
-Banks still blue chip investments with limited competitions
-Strong dividend yield, especially NAB at 8%
-Trade wars potentially easing
-China Stimulus this Quarter
Keen to hear your thoughts
RogueCleaner
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@NaviCoin, Banks have been moving down since the market expectations of RBA rate rises. In the recent months this has changed which may help the banks bounce. But everyone has hit debt saturation. Banks can only make money when some sucker takes a big loan. cheap money works to artificially boost the economy.... until it doesn't....
Bipolar_trader
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@ChartingCleaner, Thanks mate, yes this is a valid point and one that i have been struggling to be rationally with. Work from Prof Steve Keen, argue that recessions and booms, rise and fall with credit. With historically low interest rates, cheap money has fueled many asset classes including stocks. That being said with credit tightening I still find it hard to see Banks being falling in significant value. Credit availability is important to a well functioning economy and I think Government would intervene with some sort of measure (maybe open immigration to high net worth individuals could be one of them?)
-Royal Commission has already been priced in
-Banks still blue chip investments with limited competitions
-Strong dividend yield, especially NAB at 8%
-Trade wars potentially easing
-China Stimulus this Quarter
Keen to hear your thoughts