The Dow Trannies Need To Bounce Soon

The Dow Jones Transportation Average is sitting on an important technical support: the 38.2 per cent Fibonacci retracement level. It has already bounced off this level a couple times, so the index needs to bounce soon or it will run the risk of breaking down.

The next Fibonacci support level is near 4600. This is a good one to watch for classic divergence (vs. Dow Jones Industrials).

Previous Dow Transports Chartology here.

More charts found here.

dow transports

Photo: See It Market

Dow Jones Transportation chart as of September 28, 2012. Dow Jones Transports chart with Fibonacci retracements and technical support levels. Dow Jones Transports technical analysis.

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Twitter:  @andrewnyquist and @seeitmarket     Facebook:  See It Market

No position in any of the securities mentioned at the time of publication.

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