Test / We are now neutral the Banking Sector

By Market Matters 29 March 19

We are now neutral the Banking Sector

MM was very bullish the banking sector back in December when in our opinion they were factoring in a number of worst case scenarios.

However following their ~15% rally we believe the risk / reward is no longer as attractive and we have reduced our significantly overweight position. If we consider Westpac (WBC) shown below we would be aggressive buyers into fresh recent lows while sellers closer to $28 i.e. we are currently in the middle at the moment.

We are now neutral the banking sector.

Westpac (WBC) Chart