UNP - Union Pacific Corporation $57.35 +0.25 (+0.37)

Tuesday's Comment:

Union Pacific has been working all the live-long day, at least working to break through resistance. On Monday, the company's stock traded to an intra-day high of $57.60 before pulling back to a close of $57.10. On Tuesday, the stock reached an intra-day high of $57.47 just before the closing bell. UNP has been trying to take out resistance at $57.63 over the past five sessions. The company pre-announced an earnings surprise last week and the news may be factored into the current stock price. However, we think the stock may be trying to re-gain its momentum. To that end, the company announced a new boxcar "shuttle train" that offers one- call, door-to-door, multiple-stop service, inventory control, and direct store delivery to points between the Pacific Northwest and Southern California. The news came out after the bell on Tuesday, so the stock may be able to break out on the news. Going forward, support is the 5-dma at $57.07 with stronger support at $56.64, the 10-dma. Resistance is the 52-week high of $57.63 and then the 7/22/99 intra-day high of $58.31. A bounce off of $57.07 or a breakout above $57.63 on midday volume greater than 500,000 shares may be possible entry points. We are leaving our stops at $54.50 as downside protection.

Picked on April 3rd @ $57.35 Change since picked +0.00 Stop Loss @ $54.50

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