BofA Warns Euro Bank Stocks Are Rolling Over, "Negative For All Risk Assets"

Tyler Durden's picture


Despite the recent significant weakness in the broader European and US equity indices, European bank stocks are only just beginning to resume their larger downtrend (as the hopes of a Draghi put remained firm until the last few days of BES debacle). As such, BofA's Macenil Curry believes, they are likely to be the catalyst for the next leg of "risk off" and in that environment EURUSD should continue to suffer.


Via BofAML,
Chart of the week: European bank stocks are rolling over

European bank stocks are resuming their downtrend. The 6 month topping formation (Head and Shoulders Top) points to further downside in the sessions and weeks ahead.

Downside targets seen to 130.52/126.83 (approximately 8%/11% lower from current levels) before renewed basing.

Stay bearish EURUSD

While intra-day and daily charts say that €/$ risks a further corrective squeeze higher, bounces must be sold.

The combination of vulnerable European bank stocks and poor price action say that €/$ should continue lower to 1.3104 and below.

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Sun, 08/03/2014 - 17:22 | 5041488 MH17FLIGHT
MH17FLIGHT's picture

My last pay check was $9500 working 12 hours a week online. My sisters friend has been averaging 15k for months now and she works about 20 hours a week. I can't believe how easy it was once I tried it out. This is what I do...

Sun, 08/03/2014 - 17:28 | 5041505 jaap
jaap's picture

Tylers, give him a perma-ban

Sun, 08/03/2014 - 20:59 | 5041587 remain calm
remain calm's picture

Just want to get on topic and add my friend Kyle Bass is short all European Banks. If you can't legally shoot a banker, you might as well make money off their demise.

Sun, 08/03/2014 - 21:06 | 5042213 philipat
philipat's picture

"He" is a spammer using multiple account names, but it should be possible to create a "Rule" which automatically sends to junk by entering the text of the message, which is always the same.

Sun, 08/03/2014 - 17:43 | 5041506 Quus Ant
Quus Ant's picture

I'll vouch for MH.  She did a private show for me and she is HOTTT!  Worth every penny. 

Ask for her ping pong ball trick- not to be missed!


Hey, honey, how you doing?

Sun, 08/03/2014 - 21:26 | 5042262 espirit
espirit's picture

Ever seen her "shoot" darts?

Damnest thing I've watched yet.

Sun, 08/03/2014 - 17:31 | 5041514 holmes
holmes's picture

Your sister's friend's ass must be plenty sore.

Sun, 08/03/2014 - 17:37 | 5041532 Eyeroller
Eyeroller's picture

Not to mention the cousinwife's...

Sun, 08/03/2014 - 17:35 | 5041524 Bossman1967
Bossman1967's picture

And again I say your full of shit!next you tell me i can stay at home and jerk off and get paid for it. Zero should charge you to advertise when you need a cell next to Madoff. My Dad till tell me a sucker born every minute though

Sun, 08/03/2014 - 17:59 | 5041591 Wait What
Wait What's picture

maybe it's not quite 'staying home and jerking off' but while I was an undergrad a sperm bank would post on campus offering to pay for 'contributions'. apparently you can sell your genetic material at a premium in places where even at 2 st.devs. IQs all fall in the 'gifted' range.

it may not be 'buying brain power' but it certainly increases the probability that your progeny will be among the brightest children in any environment.

Sun, 08/03/2014 - 18:08 | 5041616 Ralph Spoilsport
Ralph Spoilsport's picture

Sperm Banks have been replaced by Cum Dumpsters.

Sun, 08/03/2014 - 19:40 | 5041922 Wait What
Wait What's picture

they have infested the pubs here in California. met 1 so drunk last night she literally dumped her drink down her shirt trying to convince me to show her my place while attempting to drink at the same time. self-respect is the 1st thing CDs lose, coordination the 2nd.

Sun, 08/03/2014 - 17:44 | 5041554 crazybob369
crazybob369's picture


Sun, 08/03/2014 - 17:25 | 5041496 Dead Canary
Dead Canary's picture

Ah don't believe in Euro-Peons. I aint never seen one.

Sun, 08/03/2014 - 17:43 | 5041550 piratepiet
piratepiet's picture

I am one, shame you can't see me. 

Sun, 08/03/2014 - 17:26 | 5041501 Kirk2NCC1701
Kirk2NCC1701's picture

Good thing that Land, PM, Diamonds or Art aren't targeted as manipulated risk assets.

Sun, 08/03/2014 - 18:37 | 5041708 Kirk2NCC1701
Kirk2NCC1701's picture

Yikes, I got myself a Junk Stalker.  Shall I play Misty for you?

I suggest you contact me to address/resolve our differences, or agree that "Same to you, the feeling's mutual".

Sun, 08/03/2014 - 19:55 | 5041974 DoChenRollingBearing
DoChenRollingBearing's picture

Hey, Captain, I have legions of junkers too.

Out damn spot!

Sun, 08/03/2014 - 17:37 | 5041530 Bossman1967
Bossman1967's picture

Land will just be confiscated by Obama when he declares marshall law and he takes it all. My precious metals are in the ground and good luck getting me to say where when they ask for it.

Sun, 08/03/2014 - 17:42 | 5041544 ebworthen
ebworthen's picture

I'm certain that Argentina defaulting and Banco Espirito Santo going tits up have nothing to do with this.


Sun, 08/03/2014 - 17:43 | 5041546 just-my-opinion
just-my-opinion's picture

Beer....and I'm goin to yellowstone next week....What could go wrong?


Sun, 08/03/2014 - 18:05 | 5041603 SpanishGoop
SpanishGoop's picture

Massive vulcano eruption ?


Sun, 08/03/2014 - 17:49 | 5041559 crazybob369
crazybob369's picture

Grab a beer, some popcorn, a comfy chair and sit down and relax. You have a front row seat to the greatest clusterfuck the world has ever known. The show will start shortly. Enjoy!

Sun, 08/03/2014 - 17:53 | 5041572 just-my-opinion
just-my-opinion's picture

+1....caption obvious....You enjoy also

Sun, 08/03/2014 - 17:51 | 5041566 goldhedge
goldhedge's picture

And what about US Bank Stocks?



Sun, 08/03/2014 - 17:52 | 5041567 Yen Cross
Yen Cross's picture

 If you draw that channel 20-30 years back it looks bullish. /sarc

  There's only one way to trade this ponzi. "price action".  I use 1-3-5 minute charts ad nauseum,(intraday) BUT, because of lack of volatility, find myself reverting to longer (H-4 & Daily) timeframes to make sense of things.

   Channels and trend/lines are generally overshot, which makes traders overshoot their intended entry points. Trading isn't easy and requires a lot of due-diligence.

  The "buy" and "sell side" each have their own theories, but "ultimately" have to cover their market making positions.

Sun, 08/03/2014 - 18:06 | 5041605 just-my-opinion
just-my-opinion's picture

Play Chess or nuclear....What?

Sun, 08/03/2014 - 18:07 | 5041610 Winston Churchill
Winston Churchill's picture

Do you think he's right on cable YC ?

Last time he pronounced it went the other way.

Sun, 08/03/2014 - 18:15 | 5041638 Yen Cross
Yen Cross's picture

 I'm long Cable Winston. (late Thursday) The retrace/

    Ultimately, Cable has a date with the 200day average, and then much lower.I told you guys when things start to fall apart the Cable was going get "nail gunned". 75.00% of the British economy is service based.

Sun, 08/03/2014 - 18:09 | 5041612 fonzannoon
fonzannoon's picture

BofA should use this instead of their euro stoxx index, maybe they would not be so late to the game in seeing where this is going

good read btw Y/C

Sun, 08/03/2014 - 18:46 | 5041679 Yen Cross
Yen Cross's picture

  Thanks for thinking of me Fonz. A good man you are. ;-)

    I've read comments from these bloggers in the past Fonz. They seem to be up & up with their statistics. I'm curious what Hambone thinks about those figures?

   The primary axiom that differentiates the Federal Reserve from The Bank of Japan is "reserve status".

  When you gentlemen compare the JGB to treasury holdings, I get really concerned... Japan is US #2 and nothing more.

 Japan has no resources, armies, or arable land/  Contrary to popular belief i-Pads aren't edible.

Sun, 08/03/2014 - 17:54 | 5041580 just-my-opinion
just-my-opinion's picture

Kill the middle class....Now take away the guns...I dare you

Have fun in Texas


Sun, 08/03/2014 - 17:57 | 5041584 just-my-opinion
just-my-opinion's picture

You could nuke us first.....that wouldn't be much fun

Sun, 08/03/2014 - 18:05 | 5041602 seek
seek's picture

Nukes (other than neutrons) don't leave the infrastructure and natural resources useable.

Bio & chem is where it's at, dawg. Especially bio.

Sun, 08/03/2014 - 21:08 | 5042218 DoChenRollingBearing
DoChenRollingBearing's picture

Hmm, better add gas masks to my Bug-In kit.  Everclear for sanitizing stuff too.

Sun, 08/03/2014 - 21:33 | 5042296 espirit
espirit's picture

Masks are a pain in our clime DoChen.

Everclear makes a mean molotov.

Sun, 08/03/2014 - 17:58 | 5041588 WTFUD
WTFUD's picture

I drop everything when the Bank of Assholes and Murdering Lice says. . . .

Sun, 08/03/2014 - 22:58 | 5042493 Ban KKiller
Ban KKiller's picture

No, you are too kind by far. 

Sun, 08/03/2014 - 19:10 | 5041803 TabakLover
TabakLover's picture

Me thinks the Dip Buyers are soon to shite the bed.  

Sun, 08/03/2014 - 20:32 | 5042106 Overdrawn
Overdrawn's picture

I'm long on Ebola.   Trend is up on all timeframes.

Sun, 08/03/2014 - 21:41 | 5042327 disabledvet
disabledvet's picture

The Russians are gonna flood the market with product folks. Gold, silver, copper, tin, lumber, nautural gas, oil, name it.

Simply put the current pricing structure in the ENTIRETY of the commodity complex cannot be sustained. I wish the trucking business well...but when you have to compete against thousand foot long ore ships, well, simply put "that just ain't fair."

If Donetsk falls that's the Donbass coal region...second only to the USA in potential output. That would be a devastating blow to Putin's regime and simply put "might attract the interest of an entire English Army with the Prince of Wales leading the attack."

Hanover is one thing, Bellorusia quite another.

Sun, 08/03/2014 - 23:02 | 5042504 Ban KKiller
Ban KKiller's picture

Bank of America thinks they see things when they can't even see themselves.

Why not rate the risk of your own company?

Do NOT follow this link or you will be banned from the site!