BAC - better than reasonable

Whilst the main market closed moderately mixed, Bank of America (BAC) settled -0.4% at $22.71. The recent double low in the $22s still looks secure. First upside target is the March high of $25.80. A year end close around the $30 threshold is viable, so long as the fed raise rates at least twice more this year.


BAC, daily

BAC, monthly

Summary

Last November saw a massive breakout in the financials, with BAC clearing multi-year resistance of $18, and proceeding straight into the $25s. Recent cooling to the $22s is cyclically natural, and does nothing to dent the current hyper-bullish trend.

If you believe the fed will raise rates this June/July, and at least once more before year end, you should recognise that BAC could be close/at $30.00 by year end.

The equity bears can't tout anything unless <$18.