It seems likely this year will go down in Wall Street history as among the most important since 1929.
As you know all to well, the mortgage mess morphed into a crisis of epic proportions that ultimately took down two Wall Street firms, a handful of commercial banks, an insurance giant, and maybe even an auto company.
But as we head into the new year, are banks stocks starting to turn the corner? Dennis Gartman consults the charts to find out.
CHART #1: Citigroup (C)
I’d stay away from the multinational banks. They probably have more toxic assets on their balance sheets. It’s hard to buy a chart that looks like this.
CHART #2: KBW Bank Index (BKX)
If you want to own a lot of banks own this. It’s less volatile.
CHART #3: BB&T (BBT)
This bank stock has made its lows and held its lows. I’d rather own any regional bank than a money center bank. They have far less problems with their balance sheet.
CHART #4: (GLD) 5-years
For months I’ve been bearish on gold, but now the charts look bullish. The trend has stopped going down. I’d be a buyer.
To see Dennis Gartman's full analysis please watch the video.