Gentleman Start Your Engines!

• Posted by Greg Harmon
• on June 18th, 2012

Trucking companies have been a enigma lately. The price of crude oil has fallen from over 106 to a base between 81-84 yest they have not moved much. What gives? They are supposed to be inversely correlated to oil prices. Ah, but wait, that is only valid if there is a robust economy looking for shipping. Friday last week JB Hunt, $JBHT, started to break out and it shifted into another gear

JB Hunt, $JBHT

Monday. The chart below shows that there is possibly another $2 in the break out move before reaching the target and with no resistance above it could run quite a bit if the market keeps moving higher. But there is another trucking company that has its engine revved and is ready to move out. Con-Way, $CNW, is rolling thorough its resistance at 35.70 Monday. It has a target of 38.90 on its

Con-Way, $CNW

break out move. Like $JBHT, the Relative Strength Index (RSI) is bullish but it has a lot more room to move higher before being technically overbought. And the next driver getting into the cab and starting the engine might just be Knight Transportation, $KNX. Finding support at the extension of the previous resistance zone it is moving higher with a RSI trending higher and a Moving Average Convergence Divergence (MACD) indicator that is supportive of more upside. A move over 17.25 puts this stock into overdrive.

Knight Transportation, $KNX

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