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InvestHub.com's
Finance Dictionary and Glossary of Investment Terms

Dow Transports  

Definition 1.

The Dow Jones Transportation Average is an index consisting of 20 stocks in the transportation business. Although it was once limited to railroads, it has changed with the times and today includes airlines, shipping companies and the like. Charles Dow, the founder of Dow Jones & Co. and a pioneer of technical analysis, postulated that an apparent trend in the Dow Jones Industrial Average had to be confirmed by a similar trend in the Dow Transports before it could be relied upon.
 
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