Ever since the meltdown of Silicon Valley Bank, there’s been one sector that been on fire. Not exactly what you might expect with all the doom and gloom that followed that supposed crisis, however, financials have found real strength regardless of a financial meltdown or not. Our stock today is no different.
Since early March, Goldman Sachs (GS) has continued to rally and making it a stock in play.
Now, GS has filled the gap that was left in the wake or the SVB disaster, bringing it right up to a previous level of support, now turned resistance. When levels are broken, this doesn’t completely invalidate them, oftentimes, these levels come back into play sooner or later. If GS can break above and hold this key level, it could then switch back to support, but we won’t know until it does. One key sign of the rally continuing will be whether or not the market breaks out of this consolidation and pushes higher.