This one group of stocks holds the transports rally in the balance

"This is a group that was actually a big concern for us about a month ago when the S&P 500 railroad index made a lower low and it looked like it was going to take the group lower, and this was particularly important because the railroads have been a good leading indicator for the entire transportation index all year long," Maley said Tuesday on CNBC's ""However, they've bounced strongly in the month of October, and they're now bumping up against their...

The trucking stocks could also be a key indicator for the rest of the group, particularly because they have trended upward with higher highs and higher lows, he added. "If the transportation stocks can play catch up, that'd be great for the Dow Theory guys, and for the broad markets, so see how these groups act over the next two weeks or so," he said.

The Dow Theory posits that a move higher or lower in the Dow Jones Transportation Average typically precedes a similar move in the Dow Jones Industrial Average, and vice versa. It rests on the presumption that an economy that manufactures at a certain pace then needs a mode of transportation to move those goods domestically and internationally.

Quint Tatro, president of Joule Financial, has his eye on two transport stocks as potential breakout stars.is a fundamentally attractive name. They are not all that cheap — I mean they're selling 18 times forward earnings with earnings basically to be flat next year, but this past year was a 36% earnings jump.

TradingNation

Россия Последние новости, Россия Последние новости

Similar News:Вы также можете прочитать подобные новости, которые мы собрали из других источников новостей

Apple is on fire and helping the chip stocks rally, Jim Cramer says'We're getting some tremendous positive pin action here with some very important companies putting up excellent results and it's reverberating,' 'Mad Money's' Jim Cramer says.
Источник: CNBC - 🏆 12. / 72 Прочитайте больше »

Mining Giant Sends Shock Waves Through New Zealand’s Stock MarketThe lights abruptly went out on New Zealand’s long-running stocks rally after Rio Tinto threatened to pull the plug on the country’s biggest buyer of electricity. Man, every time I look at a picture of that flag I’m so disappointed New Zealanders didn’t go with one of the cool, distinctive designs that made the final slate of options that were supposed to replace their current (boring, undistinguished) flag Seriously New Zealanders how did you not replace that flag with one of the finalists (like the two cool options shown below) you know, a flag that says New Zealand, one that people can remember instead of looking at it and saying “huh; something British-y?”
Источник: WSJ - 🏆 98. / 63 Прочитайте больше »

Canadian dollar holds near three-month high after Trudeau election win; no relief for energy stocksThe Canadian dollar held near a three-month high on Tuesday as the market took i... Boo Canadian dollar ... Miguna ...
Источник: Reuters - 🏆 2. / 97 Прочитайте больше »

First on CNN: Environmental group files SEC complaint about mining company stock trades days before major EPA announcementFirst on CNN: Environmental group files SEC complaint about mining company stock trades days before major EPA announcement. DrewGriffinCNN reports.
Источник: CNN - 🏆 4. / 95 Прочитайте больше »