A Goldman Sachs trader recently flagged that the market might be taking too cautious a stance heading into this earnings season. With bank earnings reports dominating the week ahead, all attention seems to be locked on how these financial giants will perform and what their results could signal about the broader economy.

The trader's take? Current positioning looks overly defensive. As major institutions report their quarterly numbers, the street will get crucial data points on credit conditions, net interest margins, and forward guidance. These metrics typically ripple through equity markets and can shift risk appetite significantly. Whether we're headed for disappointment or pleasant surprises from the banking sector remains to be seen—but one thing's clear: this week's earnings will be the main show everyone's watching.