With the Dow Jones making new all time highs, we NEED the transportation index to confirm.
There are only two outcomes:
1. The transportation index confirms, and the secular bull market continues.
2. The transportation index fails to confirm, and the Dow will correct.
In the case of a correction, we will want to watch that the Dow doesn't break down toward new 52 week lows. It's tough to tell if or when that will happen.
To judge that, I recommend Zach's profit from the pros. It's a free daily newsletter that has been pretty accurate in their long-term trend analysis.
For now, I'm holding the indexes.
I'm also buying gold stocks. The ones I purchased last year are up nicely.
Happy investing
