Channel Guy Trader: Potential breakouts in the REITS and Regional Banks

REITS are at a critical level and a lot of them look like they are on the verge of breaking out. If you go to Finviz.com and do a scan on REITS most of them look strong. Same with the regional banks that look like they are also ready to make a correction and pop. A lot of them have already popped, but there should be more follow through as more people focus attention on this sector. I am expecting this to happen if the NASDAQ runs higher and possibly forces the other index's to move higher. The dollar looks overbought and might pull in a bit bringing some buying pressure into the markets. Along with oil starting to stabilize a bit, I think we are in an enviroment where we could get a surprise light volume breakout. Lets just see what happens, as we will be prepared for the direction.

REITS



Regional Banks