Trade Alert: BKX

Take a look at the daily chart of the banking index BKX. You can see that this phony rally based on nationalization of 19 finical company s has pushed the index into oversold territory. We will look for a pullback, then either new money comes in pushing the index up again and forming the bullish W, or it fails and falls back under 45. Based on the decreasing volume I bet the latter, but the market is my master.