Transport Stocks Sail Up Stream
This morning the major stock market indexes are all coming under some selling pressure for the fourth consecutive trading day. There is one sector that is bucking the short term trend and it the highly popular transportation index. This morning the Dow Jones Transportation ETF(NYSE:IYT) is trading higher by 0.98 cents to $98.62 a share. The IYT made a new 52 week high just three trading days ago at $100.67 a share. Often when an index makes a new high it will usually try and retest the high levels and does not just rollover. Traders can watch for intra-day resistance on the IYT around the $99.20 and $99.75 levels.
Some leading transport stocks that are trading higher today include CSX Corp.(NYSE:CSX), FedEx Corp.(NYSE:FDX), and United Continental Holdings Inc.(NYSE:UAL). Traders should watch the activity in the IYT as most of the leading transport stocks will trade in tandem with the index.