The number of US banks that are in Weinstein Stage IV declines scares me. This reminds me of 2007 before the financial debacle. What do sinking banks imply for the health of the economy? How long can the rest of the market ignore this? Look at these weekly charts. Maybe this is why gold (GLD) is rising?
When entering a position in $GLD do you recommend options? I have noticed that $GLD options with minimal risk rise disproportionately to the underlying security than most stocks and ETFs. For example, $GLD increased today by 0.6% reaching $170.02 while 8/7 $175 (3% increase in $GLD to hit strike price) call options for $GLD were up 19.27% on close. Due to uncertainty in the market, an increase in inflation, and sinking bank stocks, are $GLD options something you would recommend?
Are banks falling because they are anachronistic and can no longer compete with on line payment systems which are closer to the consumer and more data driven. i.e. SQ . Dr. Wish YOU ARE THE BEST