Banking Index: Getting Closer to Zero

The thought of the banking index at 100 or even 200 a few years ago would have received laughs from anyone that would have suggested that. Today the S&B Banking Index ($BIX) closed at 65.59, an all time low.

If it can go to 100, and if it can go to 65, then unfortunately it can go to zero. That would mean the nationalization of our banks.

I'm not trying to paint a grim picture here, the charts do a better job at that.

S&P Banking Index: 10 Year Monthly Chart:
Note the numerous huge monthly bottoming candles that were completely taken out.



S&P Banking Index: Daily Chart: