Wednesday, February 9, 2011

Transportation Index Update: Lines in the Sand

The Andrews Pitchfork which has contained prices since the July-August lows has been violated to the downside and the swing charts appear to be in transition from BULLISH to BEARISH.
5148.89 = Resistance
4988.67 = Support
5 distinct upward thrusts can be counted--if 4950 level is broken, a decline to 4700-4800 is likely before significant support is seen.

The intermediate cycle from the summer lows in the equity markets is getting mature and a peak of intermediate term significance is closer than most investors suspect.

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