July 9, 2009 July 9, 2009 By charlie In , , , , , ,

Twitter Ticker ($C)

C090709StockTwits is buzzing about $AIG, but since that mess was discussed here last week, it’s time to look at another financial player, Citigroup. The last post on C is here, made on March 10th, suggesting a 120% rally in the works.

C continues to enjoy the benefits of an uptrend, but after issuing a sell signal on June 17th, it trades on a flat moving average below a descending upper Bollinger. A 2nd bounce off of support around 2.64 is possible, but if C breaks 2.49, things could get really ugly and lead to a retest of the March lows.

Mixed signals in a relatively negative market usually makes me cautious, but a rally back to 3.18 before a break of 2.49 is possible. There are plenty of other financial institutions in much better shape than Citigroup, so it is probably best to hunt someplace else.