Transports have been chugging along, closing just under the selling wick of Tuesday
The Utilities however, are in the process of pulling back from a test of previous swing highs:
There's something within Dow Theory regarding the agreement of these three components (Industrials, Transports, Utilities), so it's curious to see how it will all play out.
The laggard (Utilities) is within the top portion of a down-sloping channel, where it looks to be at a potential breakout point
Price has made a little hook (seed wave) these past few days, which could trigger a long entry, but how much resistance the overhead 50-day MA puts up will be very telling as to whether these 3 components begin to gel.
No comments:
Post a Comment