$GS · Schwab Network · 2026-11-04

But let's move on to the next thing you have here. You have Goldman Sachs. We are looking at the financial sector and we see a good move towards financial stocks today. We are currently up 2 and 3/4 percent.

I was also impressed by a recent headline about Goldman Sachs that they are no longer allowing their bankers and traders to use artificial intelligence, a significant shift from the AI trend we have been seeing so widely.

They are now restricting its use to many of their employees. But I think you're being pessimistic here because I know you don't like many of these moves and you think they'll be short-lived. So, is this our view of Goldman as well?

You know, this fits perfectly with what I'm saying here. It is a rise stemming from a lack of innovation. You cannot use artificial intelligence. Things should be done the way we did them 100 years ago.

Goldman Sachs fits perfectly with this. You know, the other thing is, can anyone come up with a reasonable idea of why we've turned to any financial stocks today other than that they're a lifeboat?

If there was a lifeboat in the middle of the ocean and it had a group of Goldman Sachs executives on board, would you even get on that lifeboat? I must tell you, I think I would risk staying in open water there.

I am preparing myself here and I will take a pessimistic stance towards Goldman Sachs simply because there is demand for Goldman stock today. It is slightly over 2%, but it seems rather weak on a relative basis.

Goldman's situation doesn't look good. It looks like we'll be seeing more sales here. I mean, when will the market wake up and realize that it will not be able to shift entirely to the financial sector, basic consumer goods, or anything lacking in innovation, as I said?

And ah, Goldman Sachs fits perfectly here. I will make this transaction until the expiry date on November 20th. The deal doesn't need to be long-term. I don't expect a sharp decline, but I do expect a decline.

I will return again to the expiry date of the options here. Again, on November 20th, buy put options at 880 and sell put options at 870 for them. It is a put option spread with a full $10 bid at a discount of $3.

I'm just looking forward to some good selling activity in the next couple of weeks as we play the rotation game and see a slight pullback in some of these financial stocks. In this case, specifically Goldman Sachs.

Good. So, we have an upward move today, Rick, but Don doesn't see that this rise as going to continue. Do you also see a possibility of a decline in technical settings?

I certainly liked the lifeboat analogy as well. Sharks are not usually inside the lifeboat with you, but in this case, I think ... well, that's how it is. However, what we are seeing here is that we have seen a very modest rise, and a small upward trend line after we bottomed out at the post-earnings levels we saw in April.

But from there, you can see that we have seen a longer decline. 1154 was approximately our highest level. We connect these subsequent rises here. It seemed as though we had tested the uptrend twice, but we had not seen a strong and convincing breakout beyond this long-term trend line.

Some notable high points, 939 here was our last peak that we established after our short-term push upwards there. We also had 967 here, plus a small gap near 1019. On the downside, 880 was our last relative low point after the gap we saw downwards.

As I said here, we had a recurring series of dips near 866 or so. Now we can see here that our moving averages are showing a similar picture. They are relatively close to each other.

These are sideways clustered moving averages that simply drift in this direction. It usually indicates the absence of a strong and specific direction. Our averages for 5 days, 21 days and 251 days are the closest in this situation.

The 5-day and 21-day moving averages are almost identical at the 905 or 906 level. Therefore, any break below this level is worth paying attention to, especially if you are expecting a downward pullback.

The Relative Strength Index is trending upwards, but despite crossing the midline at 50, we have not broken through previous highs in price or index. We are also at the level of the 251-day exponential moving average right now.

Therefore, it will be important to see if the bulls can break above this long-term moving average. The volume profile shows that we have a trading node here, between 880 and 950.

Our control point is located at approximately 935.69. So, we also failed to surpass that level. That was roughly where we recently reached our peak, along with our short-term breakthrough.

The area here, near 800 to 820, will be another node, much smaller, but still worth paying attention to.

Well, now we're looking at Goldman Sachs again. There is a buy offer of more than two percent at 916.48 this morning for Goldman Sachs.