“Asset” or Liability:
The asset managers of the finanical group are drumming to their own beat. Some have acted well and are trading near 52-week highs like leader BAM, but this one looks vulnerable with bearish divergence as 3 lower RSI highs corresponded with 3 higher PRICE moves since late last October. It did complete a bullish morning star on 2/13 and the next session gapped up completing a bullish island reversal (after the gap down on 2/3) but these are more reliable signals near lows. Add to that it filled in an upside gap from the 1/31 session and Tuesday traded into a bearish engulfing candle from 1/30. Below is peer BLK which has been behaving a bit weaker, where BAM is 3% off its most recent 52-week highs, Blackrock is 11% off its own annual peak. It does have some positive attributes but has to hold Tuesday’s intraday low of 959.07 on a CLOSING basis. The notes on the daily chart are self-explanatory (two spinning tops on 1/30 and 1/31 after a double bottom breakout pivot of 1057.59 were a canary in the coal mine for the coming weakness with such a quick breakout failure) and notice there is some room lower if that stop is taken out on the MONTHLY chart to the very round 900 number to retest a prior cup base breakout (notice the doji candle that started the pattern in December 2021 which led to a 400 handle haircut. The only other doji since 2017 was last December.