All clear according to the financial sector

During the great 2007-2008 financial crisis the shares of asset manager / investment dealer Canaccord Genuity Group Inc  (CF) peaked at $27.50 in mid 2006 and bottomed at $2.87 in mid 2008. During the same crisis the shares of asset manager / investment dealer GMP Capital Inc. (GMP) peaked at $28.75 in mid 2006 and bottomed at $3.03 in mid 2008. In both examples these were stunning losses - in the order of 90%

The experienced technical analyst (the older guys) will track the asset managers or financial related issuers because they tend the broader equity markets. Also in Canada we had the August 2007 failure of Coventree Inc. and the Dundee Bank ABCP 2007 panic. In the U.S. we had the March 2007 collapse of New Century Financial Corporation, an obscure real estate investment trust that originated mortgage loans in the United States through its operating subsidiaries. In a publication dated February 13, 2007, cycle expert Ian Notley predicted "Mortgage Lenders / Financials: Cyclic tops and bears are originating."

Our chart today is that of Canaccord plotted above GMP Capital (weekly data) clearly displaying breakouts up and out of symmetrical triangles – note also the 5-wave count in the triangle – a bullish sign for the broader equity markets