Truckers Are Out of Gas and Running on Fumes

• Posted by Greg Harmon
• on June 3rd, 2013

According to finviz.com there are 8 trucking stocks that have valued their companies above $1 billion. Heartland Express, $HTLD, Knight Transportation, $KNX, Werner Enterprises, $WERN, Con-Way, $CNW (short pick in premium area this week), Swift Transportation, $SWFT, Landstar, $LSTR, Old Dominion Freight Line, $ODFL, and JB Hunt, $JBHT. That is a lot of money in trucks. But each and everyone of them looks like they are either out of gas or running on fumes right now. Lets look at a few.

Werner Enterprises, $WERN

Werner Enterprises, $WERN, is the best of the bunch and just might make it to the truckstop in time to fill up. The price is butting against resistance at 25.25 but the Relative Strength Index (RSI) is rolling over and the Moving Average Convergence Divergence indicator (MACD) is pulling back at levels that have signaled a top previously. It is also extended from the Simple Moving Averages (SMA) and the 23.50 long term support/resistance line. All that said, if I had to own one trucking stock this looks the best. Swift Transportation, $SWFT, has a similar chart and is a close second.

Knight Transportation, $KNX

Knight Transportation, $KNX, did a full retracement to the 200 day SMA after the bearish Shark. But then came back with a vengeance…..until the Shooting Star print 2 weeks ago. Since confirming lower it has been falling back again and the RSI and MACD are leading it lower. A bit more advanced than the first two names above, there is support lower at 16.70 and then the 15.60 area. Con-Way, $CNW, Heartland Express, $HTLD and Old Dominion Freight Line, $ODFL charts have a similar look.

Landstar, $LSTR

Landstar, $LSTR, looks so bad it might be turning good, if that makes sense. It has had a steady broad pullback since January 28th, but is now consolidating at the 200 day SMA. It is not time to jump in yet as this could just be a bear flag before the next leg down, but a rebound back over 53.25 would be a sign that things are looking up. JB Hunt, $JBHT, is racing to get to that bottom as well.

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