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The strength in South and Latin American airlines from our prior blog post stands in stark contrast to the recent bout of weakness in the major U.S. airlines, namely AAL DAL LUV UAL. 

Moreover, with Hurricane Irma barreling down on Florida this week, we want to note that American Airlines has a major hub at Miami International Airport, which means AAL is likely to be hurt even more than its peers as we see Florida already declare a State of Emergency. 

On the AAL daily chart, below, beyond the bearish technicals of a bear flag in the context of a corrective downtrend we have a very likely slowdown in business for the firm the closer we get to landfall. While it is true that the evacuation process may see an initial uptick in business, ultimately the disruption is a concern, of course depending on how poorly things go with Irma. 

To be sure, the human element of hurricane destruction makes it tough for any (human) trader to bet on a calamity. But it is worth noting that the major U.S. airlines we were long before Harvey, too. In other words, it is what it is--And AAL is looking ripe on the short side. 

Be sure to check out my Midday Video for Members today, as we walk through a specific concept relating to what is happening with gold and silver.