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Dow Jones Transportation Index

What has been very encouraging over the last two earnings seasons is the strength we’re getting in small-cap technology companies (stock market action aside). A lot of smaller technology companies are reporting a significant improvement in revenues, and that means that consumers are opening up their wallets, if…

No matter how you look at this stock market, the fact of the matter is that a lot of stocks are trading right at their all-time or 52-week highs on the back of mostly flat earnings. This makes it tough to be a buyer. In fact, I wouldn’t…

I’ve been looking at all the earnings to date (they often aren’t a calendar quarter, but a fiscal quarter), and so far, I would say that the majority of companies are beating consensus expectations. Corporate earnings are definitely managed, but this is a good development. If the reduced…

There is positive momentum going into fourth-quarter earnings season. The earnings results we’ve had so far from brand-name large-caps are encouraging. We can’t forget, however, that expectations and consensus estimates have come down a lot, especially because of third-quarter earnings results. I think the stock market will be…

On the day of the Federal Reserve’s announcement regarding targeted low interest rates and a new bond-buying program, the stock market started out strong, only to sell off by the end of the day. This has happened countless times over the last couple of months, and it’s a…

It wasn’t too long ago when the Dow Theory flashed a sell signal. To reiterate, the Dow Theory simply states that in an uptrend, or downtrend, two popular stock indices must follow each other. For example, if the Dow Jones Transportation Index moves downward, the Dow Jones Industrial…

One of my biggest concerns about the stock market in recent history has been the lack of confirmation from the Dow Jones Transportation Index. This index hasn’t done a thing in the last five years, and even though it has recovered somewhat since the beginning of October, it…

The Dow Jones Industrial Average has risen more than 11%. And if I had to choose one reason to explain the rise in the world’s most followed stock market index, it is this: extreme (and unprecedented) money printing by the Federal Reserve and the hope that other foreign…

On a lot of occasions, the stock market sells off on the reality of its expectations, but it hasn’t since the Federal Reserve announced a third round of quantitative easing (QE3). The main stock market indices are holding up very well, consolidating more so than selling off on…

I don’t think the upcoming earnings season is going to be a bad one, but when FedEx Corporation (NYSE/FDX) says that the global economy is worsening, I pay attention. For its fiscal year, ended in May, the company lowered guidance for its earnings per share (EPS) range to…

Even though the Dow Jones Industrials just hit their best level since 2007, the Dow Jones Transportation Index began to appreciate with the other major indices only in the last week—and this is with buoyant oil prices. It all leads me to believe that the stock market is…

The stock market is on the third leg of a repeating pattern that began about three years ago. The spectacular stock market decline that began in 2008 hit a bottom in March 2009, and then promptly recovered. July 2009 saw a significant recovery in share prices, followed by…

Stock market breadth isn’t that strong, and what’s worrisome from my perspective is the non-confirmation from the Dow Jones Transportation Index. One stock market leader that I always follow is Union Pacific Corporation (NYSE/UNP), which is a railroad stock that just hit an all-time record high on the…

While January was one of the best months for stocks, the moves in April did some stalling, which shouldn’t be a surprise given the rapid move and the reality that the rate of gains cannot be maintained without periodic market adjustments. My technical analysis is that stocks in…

The stock market, as measured by the S&P 500 Index, broke 1,400 quite meaningfully, but the market’s been due for a pullback and I view recent stock market action as healthy. Going forward, the trading direction will obviously be based on corporate earnings, which I estimate will be…

While January was one of the best months for stocks, the upward advance has been stalling, which shouldn’t be a surprise given the rapid move and the reality that the rate of gains cannot be maintained without periodic market adjustments. My technical analysis is that stocks in an…

The Dow Theory, a reliable indicator of stock market and economic direction that has been around for almost 100 years, is flashing a warning signal. The Dow Theory looks at the relationship between the Dow Jones Industrial Average and the Dow Jones Transportation Index. The Dow Jones Industrial…

It’s difficult thinking about stocks, commodities and investing in general when you see the tremendous devastation in Japan. Stock picking seems like a flippant endeavor compared to dealing with the loss of life in this natural disaster. My cousin’s husband is a Japanese American executive with Coca-Cola in…