Following the green…
This makes no fundamental sense to me – the price of oil is up, the summer travel season is over and these are AIRLINES! — but the entire sector is lifting off .
At the moment UAL is up 5%, AAL up 5.6%, DAL up 5.1%, and ALGT a WTF 8.4%.
And the charts look spectacular. Each coming out of high flat bases (see UAL below).
Maybe you can tell this is not my favorite sector. I’ve always found it as uncomfortable as the middle seat in the last row in coach. But a rally is a rally and it appears this could a leading sector if we are now to have a weeks-long drive higher in the market.
(right click on image for a larger view)