Category: Daily update

Dow Theory Update for June 28: Precious metals rebound or a dead cat bounce?

posted on: June 28, 2013

Primary and secondary trends unchanged. Let’s get started with our Dow Theory commentary for today. Stocks The SPY, Industrials, and Transports closed down. The primary trend and secondary trend is bearish for the reasons explained here, and further explained here. Today’s volume was much higher than yesterday’s, which is bearish as volume expanded with declining […]

Dow Theory Update for June 27: Paper gold melting down

posted on: June 27, 2013

Stocks rally on weak volume Time to buy the junior gold miners ETF GDXJ? Mebane Faber of Mebane Faber Research has penned an interesting article named “What happens when you buy assets down 80%”. In the article she analyses the subsequent 3 years return when you buy a sector, industry or country that has declined […]

Dow Theory Update for June 26: Precious metals gap down and fall out of bed

posted on: June 26, 2013

Stocks closed up Piece of wisdom of Gartman, as quoted by Richard Russell. Richard Russell, of the Dow Theory Letters, has nailed it down. When trying to call a bottom in gold, he wrote: “I’m going to be kind and say that gold has put in a base at 1350. I’m going to side with […]

Dow Theory Update for June 25: Stocks closed up. No change in trends

posted on: June 25, 2013

Precious metals listless. Dow Theory and Chinese stocks As you know, the US stock market is in a primary bear market, as I have explained here, and further explained here. I also wrote that less than 5% was lost from peak to trough, which is outstanding timing. So I wanted to see whether the Dow […]

Dow Theory Update for June 24: Stocks and Gold and silver miners ETFs make lower lows

posted on: June 24, 2013

Digging deeper into a secular bear market Let’s get started with our Dow Theory commentary for today. Is the secular bear market still alive? Last Friday when I was assessing the last position taken in pursuance of the Dow Theory, I wrote that my “benchmark” was the average gain and duration of transactions taken during […]

Dow Theory Update for June 21: Primary bear market for stocks signaled today

posted on: June 21, 2013

People long stocks should get ultra careful Let’s give my readers the “meat” straight away, as today the Dow Theory spoke once again. The Transports by closing below its June 5 lows have just signaled a primary bear market. Yesterday, the Industrials and the Transports violated their respective June 5 lows, and for the reasons […]

Dow Theory Update for June 20: Meltdown in all markets

posted on: June 20, 2013

Primary bear market in GDX and SIL reconfirmed With no more preambles let’s get started with a day rich in Dow Theory relevant events. Stocks It goes without saying that the Industrials, SPY, and Transports closed down. As to our vital qualification of trends, here it gets tricky today. If I’d follow 100% Schannep (and […]

Dow Theory Update for June 19: Primary bear market for gold and silver reconfirmed

posted on: June 19, 2013

Stocks take a nosedive. Stocks The SPY and Industrials, and Transports closed down. The primary trend is bullish, and the secondary one is bearish for the reasons given here. Today’s action brought the stock indices closer to the June 5 lows. If the June 5 lows were to be violated a primary bear market would […]

Dow Theory Update for June 18: Who is one of the best market timers as per the Wall Street Journal?

posted on: June 18, 2013

Answer: Jack Schannep of “thedowtheory.com“ Mark Hulbert, of MarketWatch.comhas recently penned an interesting article for the Wall Street Journal, whereby market timers are scrutinized. You can find Hulbert’s article here. The article begins with a pearl of common sense. I quote: “The best-performing advisers who focus on calling market turns are giving the bull market […]

Dow Theory Update for June 17: No change in trends

posted on: June 17, 2013

Precious metals meandering Stocks The SPY and Industrials closed up. The Transports closed down. The primary trend is bullish, and the secondary one is bearish for the reasons given here. The stock market remains in a delicate situation. If the June 5 lows were to be violated a primary bear market would be signaled, as […]

Dow Theory Update for June 14: Stocks down but the June 5 lows were not violated

posted on: June 14, 2013

Russell once again lukewarm with the stock market Stocks The SPY, Industrials and Transports closed down. The primary trend is bullish, and the secondary one is bearish for the reasons given here. The longer the 06/05/2013 lows hold, the better the odds for a new rally, which would move stocks away from the danger […]

Dow Theory Update for June 13: Stocks dodge the bear market bullet. At least for one more day

posted on: June 13, 2013

Secondary trend for gold and silver miners ETFs continues bullish Let’s see what the Dow Theory has in store for us today. Stocks The SPY, Industrials, and Transports closed up. The primary trend is bullish, and the secondary trend is bearish (ongoing secondary reaction). In my last two posts, I insisted that the market should […]