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Union Pacific Railroad (NYSE:UNP) – Bullish Sequence Calling Higher

Investors may be looking ahead to the next couple of weeks for buying opportunities during the coming pullbacks.
ElliottWave-Forecast has built our reputation on accurate technical analysis and a winning attitude. By successfully incorporating the Elliott Wave Theory with Market Correlation, Cycles, Swing sequences, Distribution system and the Right Side system which consists of Right Side tags to inform clients of what side of the market should be traded and blue boxes to show areas for buying / selling. We provide precise forecasts with up-to-date analysis for 78 instruments including Forex, Commodities, ZN (10 year note yields), World Indices, Stocks, ETFs and Bitcoin.
ElliottWave-Forecast has built our reputation on accurate technical analysis and a winning attitude. By successfully incorporating the Elliott Wave Theory with Market Correlation, Cycles, Swing sequences, Distribution system and the Right Side system which consists of Right Side tags to inform clients of what side of the market should be traded and blue boxes to show areas for buying / selling. We provide precise forecasts with up-to-date analysis for 78 instruments including Forex, Commodities, ZN (10 year note yields), World Indices, Stocks, ETFs and Bitcoin.

Last year, revenues at Union Pacific UNP grew to $22.8 billion, while earnings were up in mid-single-digits to $10.8 billion. Revenue growth was led by strong gains in Intermodal, amid capacity constraints in the trucking industry and a higher industrial production for commodities shipments.

Union Pacific’s year on year earnings growth rate has been positive over the past 5 years, outperforming the transportation industry. Its earnings are expected to grow by 7.1% yearly and revenue is expected to grow by 4% yearly.

UNP Future Revenue and Net Income Expectation

UNP Future Revenue and Net Income

Moving on to the technical picture of the stock using weekly and daily Elliott wave chart:

From the January 2016 low, UNP rallied higher in an impulsive 5 waves advance breaking the 2015 peak which opened a new bigger cycle to the upside. The 5 waves rally ended as a wave I in September 2018, then did a 3 waves pullback Zigzag Structure in wave II which reacted higher from the blue box area, $122 – $129.

Up from there, the stock resumed the rally breaking to new all time highs and opening a new bullish sequence to the upside calling for a move toward target area $226 – $287. Therefore, UNP pullbacks are expected to remain supported above the December 2018 low of $127 and find buyers in 3 , 7 or 11 swings.

UNP Elliott Wave Daily Chart

UNP Daily 2.25.2019

UNP Elliott Wave Weekly Chart

UNP Weekly 2.25.2019

Conclusion

UNP bulls are looking to stay in charge as the stock has a bullish sequence from 2016 and 2018 lows so Investors may be looking ahead to the next couple of weeks for buying opportunities during the coming pullbacks.

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