Why I think Bank of America will crash...

[retaildaytrader]

It is all about assets. BAC had a trillion dollars in mortgage loans on their balance sheet which is the bulk of their assets.

Look at your charts of BAC and then compare them with this chart.

http://investmenttools.com/median_and_average_sales_prices_of_houses_sold_in_the_us.htm

The bottomline. If housing prices do not rise and tank further then you are looking at the crash and failure of the Bank of America.

 

[promagma]

Quote from retaildaytrader:

The bottomline. If housing prices do not rise and tank further then you are looking at the crash and failure of the Bank of America.

And every other major bank.

 

[retaildaytrader]

Not all banks, but there will be a lot of smaller players taken out. BAC will probably be eventually forced to consolidate with a stronger player like WFC OR broken up into pieces like Ma Bell Or nationalized.