Category: Dow Theory

Dow Theory Update for September 25: Precious metals under secondary reaction against the primary bull market

posted on: September 25, 2020

Trends unchanged for TLT and IEF I don’t have much time to blog. Hopefully, by the end of next week I’ll be able to post some charts and provide you with more in-depth explanations. US STOCKS Schannep’s Dow Theory (more properly: The Dow Theory for the 21stCentury) At 09/14/2020, the primary trend […]

Dow Theory Special Issue: On the Dow to Gold ratio

posted on: June 27, 2020

Is it a good timing device? Since this blog deals with US Stocks and Gold, and prompted by a Subscriber of thedowtheory.com, today I’ll briefly discuss the Dow to Gold ratio and its usefulness as a timing device. You can find an explanation of the Dow to Gold ratio and an excellent interactive chart displaying […]

Dow Theory Special Issue: Did Rhea really tell that secondary reactions had to last three weeks? (III)

posted on: June 13, 2020

What about the extent requirement? Reminder: All this talk about secondary reactions is under Rhea’s Dow Theory. Under Schannep’s Dow Theory the appraisal of secondary reactions leaves no room for interpretation (which is a great advantage). However, as Hamilton wrote, the Dow Theory may be applied to non-US-Stock markets, as I do in this blog with […]

SPECIAL ANNOUNCEMENT: I join Schannep’s “thedowtheory.com”

posted on: April 29, 2020

And about the future of this Dow Theory blog I am proud to announce that I joined Schannep’s letter “thedowtheory.com” as a contributing editor. From this blog, I can only express gratitude to Schannep and his wonderful family for inviting me to join them. I also want to thank them for their gentlemanly. More […]

Dow Theory Update for April 25: Setup for a primary bull market signal in US stocks completed

posted on: April 25, 2020

Rhea’s letters (a real gem) available Excursus: I am reading Rhea’s “Dow Theory Comment” which is a collection of the letters he wrote to his subscribers from 1932 to 1934. I could get this rare collectible from Alanpuri Trading. Rhea’s “Dow Theory Comment” is the best companion to his book “The DowTheory”. I am […]

The Theory Update for April 18: Depending on how one appraises the secondary reaction SIL and GDX could be in a primary bull market since April 9th

posted on: April 18, 2020

Secondary (bullish) reaction for US stocks under the Classical Dow Theory I am polishing a relevant post concerning the appraisal of secondary reactions. As you know, the correct assessment of secondary reactions is vital as we derive the primary bull and bear market signals from them. The introductory post can be found here. Please […]

Dow Theory Update for April 4th: Did Rhea really tell that secondary reactions had to last three weeks?

posted on: April 4, 2020

A study on the proper appraisal of secondary reactions as taught by Rhea I am re-reading (for 10th, 11th time?) Rhea’s book “The Dow Theory,” and I am unearthing many gems. Those gems relate to the thorny issue of appraising secondary reactions. The proper ascertainment of a secondary reaction is vital. The lows of secondary […]

Dow Theory Update for March 21st: Secular trend for US stocks turned bearish on March 21st, 2020

posted on: March 21, 2020

Primary and secondary trends unchanged for US stocks, US interest rates, precious metals and their ETFs miners unchanged US STOCKS Under Schannep’s Dow Theory The primary trend is bearish since March 9th (penetration of the lows of the current secondary reaction) or even February 25th (alternative exit based on the penetration of the lows of […]

Dow Theory Special Issue: Back to Divergent interpretations of the “classical” Dow Theory (IV)

posted on: March 16, 2020

Primary and secondary trends unchanged for US stocks, precious metals and their miners ETFs and US interest rates When I thought that all was said and done concerning this saga (see here, here and here). Once again, I feel that some remarks concerning what I consider to be a quite “nonreactive” interpretation of the […]

Dow Theory Special Issue: Some introspection. Let’s go back to the basics in order to make the next leap forward (II)

posted on: March 7, 2020

Comparing Schannep’s Dow Theory to 21 years of buy and hold As I wrote in my last post, there are many projects expanding the Dow Theory in the pipeline. However, before we embark upon discovering new uses for the Dow Theory, we’d better remain on solid ground. To this end, we are going to compare […]

Dow Theory Special Issue: Some introspection. Let’s go back to the basics in order to make the next leap forward (I)

posted on: February 15, 2020

Musings, and more musings before the meat This is a long post which has been divided into two. It has really taken lots of introspection, as it crystallized when being alone in the countryside enjoying the sights of some wonderful lush hills dotted with grazing cattle. This post is a roadmap for the future tasks […]

Dow Theory Special Issue: Hamilton’s insight that the Dow Theory may be applied to many markets seems to be right (II)

posted on: December 14, 2019

Applying the Dow Theory to oil markets while exploring the short side. Towards building a Dow Theory portfolio In the first post of this new Hamilton saga, I applied the Dow Theory to the oil sector. I took the pair formed by USO (crude oil) and XLE (oil stocks) ETFs. I analyzed the “long” […]