Morgan Stanley (MS)

A lot of financial institutions are in this pattern right now, so I’m a little nervous to play them all at once in case the sector rallies because of some news event. Watch indicators and look for a short entry. $10.77, $10.15 and $6.71 are the three most recent lows, and the last is the 52-week low. If it breaks above $13.35, then it failed the backtest. From there, watch the 20EMA and the top line of the triangle to re-assess short opportunity.