DJ Transportation is giving off some potentially very bearish signals to the broader market. Remains
- Mar 23, 2017
- 1 min read
The DJ Transportation sector needs to correct shortly to avoid turning bearish on the weekly. As Transportation is a so-called "leading sector" - this would indicate the possibility of bearishness creeping in to US indices. Weekly momentum is still bullish decreasing and reducing fast. Could turn bearish within weeks..
The MACD formed a bearish down-cross during the past week for the first time since late-4Q15. This is a bearish turn in weekly momentum. If this sticks - it's not a good sign for the broader indices. Stochastic formed a bearish lower-high during the past week. The last time it was at this level (87.8339) decreasing was during early 1Q15. If down-crossing the 80 line and becoming overbought - it could be a very bearish turn in weekly momentum.
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