Click to Enlarge While not posting an extremely high short interest ratio, the 22% surge in short positions on CSX Corp. (CSX) makes it an attractive buy. Activity on the railroad companies has been on the increase as signs of economic improvement begin to take hold.
This is important to the rail stocks as the amount of items shipped via rail always increases as the economy improves. CSX shares are trading above their 50-day, which is also trending higher, making it a technically attractive stock. The shares recently ran into resistance at the $26 level, which goes back to chart resistance from the June 2011 top. A break above this level ($26) will turn this stock into a, forgive us, runaway train headed to new all-time highs.