CSX: Buy now, or wait for a better price?

When I wrote about CSX's last quarter, I also noted an earnings beat. And my feelings on the stock were this: wait for a pullback to initiate a trading position. Indeed, I felt a sense of momentum with the stock given the recent price action at the time.

Well, I have similar feelings with CSX after reading the Q2 report. No matter what, you have to wait for a pullback. Of course, the decision is always yours, but I think a pullback is even more vital now for success than before. Remember, CSX was benefiting from a more bullish sentiment in the overall markets a few months ago. I'm also getting the feeling that the summer doldrums might be getting ready to settle in and just don't feel as comfortable about CSX's price action. If you take a look at a chart at AOL quotes, you'll see that the last month hasn't been that great.

So, I congratulate CSX on a well-done Q2 -- the company destroyed expectations. But on the question of whether it's a buy, I say no. Shares were up in Monday's after-hour sessions by 0.5%. During the regular session, shares had gained almost 1.6%. I'm not sure where CSX will close today, but if you're set on buying, try to get in at a better price than yesterday's bid.

Disclosure: I don't own any company mentioned; positions can change without notice.