$MESA has entered a “Go” trend this month.
We have seen a new leader in terms of relative outperformance from a sector rotation standpoint. The industrials sector has started to outperform the S&P 500 as a whole. We can also dig deeper to see that the airlines industry subgroup is outperforming within that space. $MESA is therefore well positioned to take advantage of sector and industry group relative strength. If we look at the chart, we see that after months of a “NoGo” move, GoNoGo Oscillator rode the zero line as momentum was neutral for some time. A Max GoNoGo Squeeze was formed, illustrating the tug of war between buyers and sellers. When this was broken into positive territory we saw GoNoGo Trend cycle out of “NoGo” colors, first painting amber “Go Fish” bars and then “Go” colors as the new trend was recognized. Now, after some price consolidation, we see the oscillator has retested the zero line and found support. We note this trend continuation with a green circle and will look for a new high.
