Category: Insights

Dow theory Update for April 1st: Primary bull market for US stocks signaled by the “Rhea/Classical” Dow Theory today

posted on: April 1, 2019

Primary and secondary trends unchanged for precious metals As usual with me, I have almost no time to blog. I hope next week I can do some more writing. I also hope that in the next two weeks I’ll be able to pen the next post concerning the Schannep’s capitulation indicator saga. Hitherto, two “capitulation” […]

Dow Theory Special Issue: Capitulation. The ultimate bottom indicator (II)

posted on: March 22, 2019

Definition of capitulation. Betting for a mean reversion We continue with our saga concerning “capitulation”. I feel this saga is going to keep me busy for quite some time. Here you have the link to the first post. http://www.dowtheoryinvestment.com/2019/03/dow-theory-special-issue-capitulation.html Capitulation is a bottom detector tool devised by Jack Schannep. Thus, capitulation is by nature mean […]

Dow theory Update for March 14: US stocks set up for primary bull market signal as per the “Rhea/Classical” Dow Theory

posted on: March 14, 2019

Primary and secondary trends unchanged for gold, silver and their miners ETFs I am short of time, as usual. Let’s hope that next week I pen another post concerning “Capitulation”. US STOCKS The primary trend as per Schannep’s Dow Theory is bullish since March 1st, 2019 when both the Industrials and the S&P 500 closed […]

Dow Theory Special Issue: Capitulation. The ultimate bottom indicator (I)

posted on: March 8, 2019

How to catch falling knives without cutting yourself There is a German saying which reads “Klasse statt Masse” (class instead of mass, so better little and good than a lot and of bad quality) Since I don´t have much time to write, and, hence I cannot do lots of “Masse”, I hope that the next […]

Dow Theory Update for March 5: Cyclical bull market for US stocks signalled on March 1st.

posted on: March 5, 2019

Precious metals remain in primary bull market I am writing before the close. I am traveling and I cannot post charts. Today is going to be a dry post. This post was supposed to be the first post on “capitulation” one of Schannep’s tools in his trading toolbox. However, the new “cyclical” bull market signal […]

Dow Theory Update for February 19: US stocks flirting with new cyclical bull market

posted on: February 19, 2019

Precious metals continue in uncorrected bull market I am writing before the close. So things might change after the close. I am being encouraged to write more. Regrettably, I am busy in many endeavors and I cannot blog as often as I would like to. This having said, I’ll try to do my best. One […]

Dow Theory Update for February 4: Divergent interpretations of the “Classical” Dow Theory

posted on: February 4, 2019

Trying to make sense of them This is a long post and a quite difficult one to digest. However, if you want to really understand how secondary reactions are to be appraised under a strict reading of the Rhea/Classical Dow Theory, please bear with me. Readers of this Dow Theory blog know that one of […]

Dow Theory Update for January 31: Capitulation and secondary reactions under Schannep’s Dow Theory

posted on: January 31, 2019

Precious metals and their miners remain in primary bull market Stocks remain in primary bear market. US STOCKS The primary trend as per Schannep’s Dow Theory is bearish, as explained here. The secondary trend (secondary reaction against the primary bear market) is bullish, as explained here. Under the “Rhea/Classical” Dow Theory stocks are under a […]

Dow Theory Update for January 18: Secondary (bullish) reaction against primary bear market as per the “Classical” Dow Theory

posted on: January 18, 2019

Precious metals remain in primary and secondary bullish trends I am writing on January 18 just before the close. US STOCKS The primary trend as per Schannep’s Dow Theory is bearish. The secondary trend (secondary reaction against the primary bear market) is bullish, as explained here. However, at the very least since January 16th, […]

Dow Theory Special Issue: The two variables accounting for the Dow Theory out and underperformance versus buy and hold

posted on: January 17, 2019

It was a long time of not posting “philosophical” and introspective aspects concerning the Dow Theory. While it may seem evident to many, this post is the result of some nights of serious introspection. I wanted to completely isolate the factors (variables) that account for the Dow Theory outperformanceversus buy and hold (BAH). This is […]

Dow Theory Update for January 11: Stocks under primary bear market according to the “Rhea/Classical” Dow Theory since 12/10/2018

posted on: January 11, 2019

I am posting this article before the close of January 11th, 2019 On January 8th, 2019 I wrote that the primary trend according to Schannep’s Dow Theory turned bearish on 10/24/2018. The explanation in depth here. Well, today we are going to discern the trend according to the “Rhea/classical” Dow Theory. As a reminder the […]

Dow Theory Update for January 10: Gold and Silver miners ETFs under primary bull market since December 12th, 2018

posted on: January 10, 2019

GOLD AND SILVER MINERS EFTs As I explained yesterday, the primary trend turned bullish on 12/18/2018. To recap: The primary trend was declared bearish on October 4th, 2016, as was explained hereand here. On 11/10/2017 SIL violated its primary bear market closing and GDX did not confirm. Lack of confirmation implied that the primary bear […]