Getting Ready to Short the Financials (Again)

I advise investors to use this rally in the financials to your benefit. If you took recent long positions in the financials, you might consider selling soon. 

More experienced and aggressive investors might start looking to take short positions soon. 

This market is very momentum-driven so you’ll want to wait for signs of a decline before going short. No doubt, the Fed’s bailout plan for Fannie and Freddie has sparked this rally, but it’s not a rally of substance, just misguided confidence.