Goldman Sachs Group Inc (NYSE:GS) has broken a head and shoulder neckline. Head and shoulder patterns are bearish and when the neckline is breached, a large drop is at hand. The whole financial sector looks extremely weak and head and shoulder patterns are everywhere.
Citigroup (NYSE:C) is another great example but has yet to cross its neckline. The neckline is the trigger for the epic downside move to target. With so many horrid chart setups in the financial stocks, it is likely something big is on the horizon that will cause a quick, sharp decline to target. Goldman Sachs downside target which is calculated precisely, is well below $140.00. Look for sharp declines in the coming weeks on all financial stocks.