I have no idea where the ProShares UltraShort Financials ETF (SKF) might close, but the chart structure below argues strongly that a significant double bottom at 16.68 and 16.94 is in full development, and is now putting upward pressure on the key resistance plateau between 18.30 and 18.60. If and when hurdled, this will trigger upside projections of 19.50-20.00 and then 21.60-22.00. Such a scenario will indicate that the financial sector has established a significant near-term top formation.

 

Mike Paulenoff is a 26-year veteran of the financial markets and author of MPTrader.com.