Bullish on Airlines (XAL Index)

YIELDSAFE · Posted: Mon Aug 14, 2006 1:24 pm Post subject: Bullish on Airlines (XAL Index)

I believe the XAL Index (Airline Index) is due for a rebound rally within the next 4 weeks. During this rally, I would expect the XAL to reach at least 47 or more from its close of 44.65 on 8/11/06.

Based on my system, the sentiment and valuation of the XAL Index hit negative extremes on 8/11/06. Correspondingly, I have taken a long position in IYT at 75.54 on 8/14. Given the lack of pure plays on the XAL Index other than the XAL options and underlying stocks, I chose IYT as my vehicle of choice.

Long position: IYT
Entry Price: 75.54
Stoploss: 67.99
Time Stop: 4 weeks
Exit: Pending system signal

rffrydr · Posted: Sun Nov 21, 2010 9:25 am Post subject:

Sticking it to us this holiday travel season. Airlines may be best investment since...?

http://money.cnn.com/2010/11/19/news/economy/holiday_air_fares/index.htm?section=money_topstories&utm_source=feedburner&utm_medium=feed&utm_campaign=Feed%3A+rss%2Fmoney_topstories+%28Top+Stories%29
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rffrydr · Posted: Mon Nov 01, 2010 4:38 am Post subject:

Chock another one up to Gross: airline bonds up 2.6% this month, 15+% this year as best (last) performers. The downside is that it is returns like this that is keeping money OUT of equities.
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rffrydr · Posted: Thu Aug 26, 2010 8:22 am Post subject:

Half of the world’s top 30 airlines by market capitalisation are poised to make at least a double-digit return on equity this year. Bill Gross has moved into various lease and debt instruments here.
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rffrydr · Posted: Mon Feb 01, 2010 11:27 am Post subject:

Bull is as bull does:

http://www.bloomberg.com/apps/news?pid=20601109&sid=al65wvVClK50&pos=14
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rffrydr · Posted: Fri Jan 08, 2010 12:08 am Post subject:

Do two oopses make right?

Loose the finance minister and we're back in business! Japan just liberalized the tax on foreign purchases of bonds (0); starting to take a look. JAL may get a prepak but will not linger in BK.

http://www.bloomberg.com/apps/news?pid=20601087&sid=aKNMN1J5Q26Q&pos=5
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rffrydr · Posted: Sun Jan 03, 2010 10:13 pm Post subject:

This was a no-brainer:

http://www.marketwatch.com/story/japan-airlines-soars-on-reports-of-extended-credit-2010-01-03?siteid=rss&rss=1

I'd been looking into picking up some JAL on this selloff...but looks like no-brainers don't wait around Confused

http://www.economist.com/businessfinance/displayStory.cfm?story_id=15204530&source=features_box1
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HenryTo · Posted: Thu Sep 10, 2009 9:38 am Post subject:

JP Morgan adds fuel to the XAL, and indirectly, the Dow Transports:

http://www.bloomberg.com/apps/news?pid=20601087&sid=a9vapqWz2WfY

rffrydr · Posted: Thu Jul 02, 2009 8:51 pm Post subject:

So is Morgan Stanley:

http://www.cnbc.com/id/31709277

Looking at Lufthansa again.
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Today is the Tomorrow you worried about Yesterday!

rffrydr · Posted: Mon Mar 02, 2009 9:29 am Post subject:

Transports racing with the banks in today's selloff in face of oil sell. Times have changed:

http://online.wsj.com/mdc/public/npage/2_3051.html?mod=mdc_h_dtabnk&symb=DJTA
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Today is the Tomorrow you worried about Yesterday!

rffrydr · Posted: Fri Jan 23, 2009 1:26 am Post subject:

Oil collapse in retrospect provided little relief. The suddenness, the spike, left most hedging thankfully unaccomplished with a cut-capacity windfall--not:

http://ftalphaville.ft.com/blog/2009/01/21/51466/flying-like-its-1991/
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Today is the Tomorrow you worried about Yesterday!

rffrydr · Posted: Tue Dec 02, 2008 2:32 pm Post subject:

That "V" bottom looks intact. Still like Lufthansa.

Airlines announcing addtional cuts in capacity and boosting fees. There's that jetfuel again. And, remarkably, production snafus in Boeing and Airbus have created a rather strong market for discountinued plane inventory.

http://media.bloomberg.com/bb/avfile/News/First_Word/vjVO7QBWjbRI.mp3
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rffrydr · Posted: Wed Oct 15, 2008 10:08 am Post subject:

There's a double (and "V") bottom:

http://stockcharts.com/h-sc/ui?s=$XAL&p=DAILY&b=5&g=0&id=p76026272481

Nice to see this UP on crude fall...we're breaking out of the viciousness of this circle.
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Today is the Tomorrow you worried about Yesterday!

rffrydr · Posted: Thu Jan 31, 2008 10:30 am Post subject:

Interesting the high remediation rates MBIA is getting off these BK'd airlines. Seems like bonds are the long-term way of playing these serial BKers.
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Today is the Tomorrow you worried about Yesterday!

rffrydr · Posted: Thu Aug 17, 2006 7:50 am Post subject:

Crude continues to break down despite it's bullish inventory data yesterday. OPEC actually calling for demand reduction. Probably left something on the table.

Less gutsy folk are short the XLE.

HenryTo · Posted: Wed Aug 16, 2006 11:23 pm Post subject:

Yes, very impressive and gutsy!