- Dow Jones Transports continues long divergence from Dow Industrial Average with 8.3 pct slide just since late Nov high, and pattern breakdown suggests a coming test of its Aug low. Chart: http://link.reuters.com/gar26w - Indeed, DJT continues to lag, and now back down to within just 3 pct of its Aug trough making it the closest of any major index to testing that panic low - DJT continues to struggle and diverge despite some boost to airlines recently from falling oil - However, other than airlines, index seeing broad-based weakness with rails, shipping/freight, and trucking under pressure - Action has widened DJI - DJT spread to 9904 pts which has that measure exceeding resistance line, although monthly closing level still the key reading - Against this, Dow Theory sell signal still in effect from Aug when DJI and DJT violated previous intermediate-term lows - Nevertheless, market’s bullish potential remains given intact daily triangles on S&P 500 and DJI, and momentum behind Nasdaq 100 advance - However, weak internals and divergences, such DJT’s lagging behavior, seen as additional reasons SPX should struggle even if marginal new highs are seen