The Dow Jones Transportation index has remained inside of rising channel (A) over the past 20-years.

The decline of late took it down to test this channel as support back in August. At the same time it was testing 20-year support, it was testing 5-year rising channel support at the same time.

So far, support has held.

Now the Transports are facing a falling resistance line that has been in play for the past 6-months

A breakout above resistance would be a positive price development and would also be a good sign for the broad markets.

Keep a close eye on Transports going forward, this looks to be an important test for this index and the broad markets!

How The Recent Decline In Stocks Looks "Eerily" Like Major Bear Markets Of The Past