This is a positive trend

Good news. The transportation average broke on the upside an important resistance level (click on the chart to enlarge it).

Strong transportation stocks point to a robust economy. And this is good news for profits and stocks.

Note the volume pattern. Strong volume appears at tops and bottoms. Right now volume has no clear pattern. It may mean we will continue to see the continuation of the trend. Time will tell, of course.

To find out more about my in depth views of the markets and my strategy just visit our website https://www.peterdag.com/ where you can review The Peter Dag Portfolio. You can also call me at 1-800-833-2782 to discuss your specific money management needs.

I will be happy to speak to your investment group on how the business cycle impacts investment strategies and the choice of asset classes.

George Dagnino, PhD
Editor, The Peter Dag Portfolio. Since 1977
Ranked Top Market Timer in 2009 by Timer Digest

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