This is a daily chart of the European Banking Index (Eurozone specific). Trading since late November 2010 low took shape of a well-defined flat correction. Current levels are pushing against a well-defined band of resistance and internally, the ascent from the January 2011 low (on the back of Portuguese bond sales) looks complete.
I expect this index to drop below the levels of November 2010 and January 2011 in short order. Needless to say, this will drag the rest of the European markets down.
