YRC Worldwide Inc (YRCW)

[GuyBig]

YRCW is likely to retest the 52 week Low BEFORE the 4/28 Earnings Release

4 million of 33.26 million shares outstanding are sold short. Most of the time, persons who short make money. The Dow Jones Transportation average moved up from 6625 in late January to 8075 two weeks ago. It's pulled back about 5% since then. Usually a pullback would go to at least 10%. With the DJT at 7652, its likely to go down to 7300 or below.

YRCW's beta is now 3.6 according to Google Finance, so a 5% drop in transports could result in an 18% drop for YRCW, rounding up -- a drop of 20%. That'd move it down from 8.875 where it closed today to 7.10, but the way things trade -- 7 is likely. The low in February on the 4th Q earnings report was 6.28 If 7 is likely with a DJT pullback, going down further to test that February low BEFORE the earnings report is also likely.

There's not much that's good in YRCW's stock chart or in the Transport Averages. Sorry to say that.