Financials: Charts Say "Decision Time"

The Bank Index (BKX) was rejected by the declining 200 day EMA (green line) and is now sitting on support, entangled by the 20 and 50 day EMAs (blue line and red line).

An oversold bounce is possible, but failure to do so would make this chart "roll over". The broader markets would have a tough go of it without the financials.

Momentum is waning. The MACD has crossed over twice now and never confirmed the last price high...

The Regional Banking Index (KRX), is clearly weaker than the BKX. Price is now below all three moving averages, the 200, 50 and 20 day EMAs (green, red and blue lines). The regional banks are the ones that got deep into commercial real estate loans. They're also the ones that got bailed out the least and are expected to be the "next shoe to drop".

Make or break time for financials and the broader markets can't make a sustained move without them...