Another Bank Down Leg Imminent?

Not withstanding another foolish thief like Wall Street upgrade of these mutt stocks, the financial sector is looking very vulnerable to a severe correction.

PHLX BANK INDEX about to Roll Over like Lassie



Broader S&P 500 Financials Index also broke its 200 DMA today.



Do I have to remind everyone that the secondary offerings that were priced by JP Morgan, Amex, Wells Fargo, and Capital One are all under water?

Speaking about Capital One, did they let anyone know when they priced their secondary that their Net Charge Offs for May was a record 9.4%?

Did Wells Fargo alert their suckers (Shareholders) the potential repatriation of $1 Trillion notional value of toxic loans back unto their balance sheets?

Did JP Morgan alert any one on their syndicate team to alert the shareholders of severe loan losses going forward?

BOFA is the only secondary offering that is in the black so far. Actually, I have to admit BOFA does look interesting...at $3 bucks mind you.

I would not be suprised to see another upgrade tomorrow morning in these mutts.