Author: Michael Arold
Covestor model: Technical Swing
Markets are so focused on what’s going on in Washington that real price action is muted. Last Friday morning (7/29), Financial REITs experienced a Flash Crash.
Take a look at Invesco Mortgage Capital (NYSE: IVR) in the charts below. The stock was down drastically during the initial minutes of trading, before suddenly rebounding.
Similar REITs didn’t look better.
Here’s the longer term chart for reference:
What does that mean? In my opinion, May 6 2010 (the better known “flash crash”) can happen again. Be careful out there.
Charts from StockCharts.com, 7/29.