Dow Jones Banks Index

The US bank index has reached the lower end of the rising channel over the last 2 years and closed a little below it. A closer analysis shows the recent decline to be A-B-C. Last night's decline in the index is wave V of C down which brings us very close to the lower end of the black falling channel. So we need to wait for wave V of C to complete and mark a bottom for the index. Very close to a final bottom.