Welcome, Guest
Username: Password: Remember me

TOPIC: Transport Sector Dumps, Is This A Warning Sign?

Transport Sector Dumps, Is This A Warning Sign? 2 years 6 months ago #11215

  • inthemoneystocks
  • inthemoneystocks's Avatar
  • Offline
  • Expert Boarder
  • Posts: 89
  • Thank you received: 5
  • Karma: 0
This morning, leading transportation stocks such as CSX Corporation(NASDAQ:CSX) and United Continental Holdings Inc(NYSE:UAL) are declining sharply after reporting earnings. These two transportation giants are putting pressure on the highly followed iShares Dow Jones Transport. Avg. (ETF)(NYSEARCA:IYT) which is trading lower by 1.40 percent today. Many traders and investors will track the transportation sector as a leading indicator for the overall market. At this time, the transport sector is still in an up-trend as it remains above its 50-day moving average on the daily chart. So today's decline is simply nothing more than a pullback at this time. This moving average is very important for the trend and is watched by many institutional traders. A daily chart close below the 50-day moving average could signal trouble for the transportation sector and the overall stock market.

Nicholas Santiago
The administrator has disabled public write access.