Lloyds Banking Group
A similar setup is forming in shares of UK-based insurance firm Lloyds Banking Group (LYG - Get Report). Like Apple, Lloyds is forming a bullish ascending triangle right now, with horizontal resistance around the $2.25 level and uptrending support acting as a sort of price floor for shares. Unlike Apple, this ascending triangle is forming at the bottom of what's been a major descent.
Still, the potential for a reversal makes this trade worth watching in this market.
Lloyds is getting smacked lower early in this morning's trading, the result of the colossal selloff that took place in European markets overnight. Still, shares are holding that support level for now, and the pattern remains valid as a result.The buy trigger on Lloyds comes on that breakout above $2.25. Momentum, as measured by a 14-day RSI, is confirming a bullish move in LYG. That said, I wouldn't recommend trying to anticipate the breakout in this stock; the high-probability trade doesn't happen until the breakout happens. Llyods shows up on a recent list of 12 Banks Slashing Jobs