BMO EQL WGT US BANK HDGD TO CAD IDX ETF (ZUB.TO)

The chart shows this is in a bit of a moonshot. The RSI indicates this just broke into overbought territory. If you own, you should trim some. If you want to buy, wait for it to come down a little. Trading in a channel, so wait for it to reach the bottom of the channel before you buy.

If you own this, continue to hold. They are deregulating the US banking system and it is part of that whole tax reform package.

Feels the US banks are going to benefit from a rotation in the market. Chart shows this has gone sideways for most of 2017 and is now breaking out. Whenever you get this kind of pattern, you tend to get good moves. Thinks there is going to be a rotation because these were overlooked when people were buying everything else.

Thinks this is one of those sectors that’s been underappreciated. Just recently broke out, which is time to buy. He thinks markets are going to pay attention to the U.S. banks now and that this is going to be one of the top performing sector next year, or at least one of the better performers.

(A Top Pick Oct 6/16. Up 40%.) He still likes this. He had thought that if Trump were elected, this was something that would grow.

We are a bit early for the period of seasonal strength for the US financials. From a low of September 29 to a high of December 26, this thing has had phenomenal returns over that time in the past 20 years. 5.36% on average for the past 20 years.

US Financials ETF? Banks insurance companies, etc. The list is too long to mention. The US financial regional banks have underperformed relative to the broader market. Get an ETF like ZUB-T that is hedged. He thinks these are attractive. ZBK-T gives you exposure unhedged in US$.

(A Top Pick Aug 4/16. Up 39.96%.) If they get the Dodd-Frank thing turned around and stripped out, that will be very good for the US.

ZUB-T vs. BAC-N. ZUB-T is hedged back to CAD$ and is an equal weight mix of US banks. With the economies strengthening around the world these banks can do well. He feels ZUK-T would be okay without the hedging.

(A Top Pick Aug 4/16. Up 46.01%.) He is still buying this. If Trump is able to allow the US banks to participate in the markets again, by getting rid of Dodd Frank, that is going to be tremendous.

If you want to buy banks, this ETF gives you an excellent entrée. You have diversification. The dividend is also fairly generous. A much cheaper way than buying individual banks.

He likes this because it has all the major banks and all the big regional banks. He likes the US banking sector if Trump is able to get through with the dismantling of Dodd Franks. Once it is done, then you are going to see those banks really actively participating in the markets.

This has about 10 US bank positions with a currency hedge on it. He sees the Cdn$ making its way back down to $.75-$.73 range, with American banks being leaders in the back half of the year.

You want to consider US financials at this stage. This could do an equal weight of all the banks including the regionals. As interest rates start to move a little higher, you are going to benefit from that.

(A top pick April 3/17. Up 1%.) US banks have been underperforming lately. He felt it probably had short term technical resistance at around $26, so just sold his holdings today.