Category: Insights

Dow Theory Update for December 10: Precious metals come to live, momentarily escaping the “danger zone”

posted on: December 10, 2013

Dow Theory Letters and the Chinese bull market in stocks Matt Kerkhoff, currently a contributor of the Dow Theory Letters, has stated that the Chinese stock market has recently turned bullish as a golden cross (50 day moving average crossing above the 200 day moving average) has just appeared on the chart. I agree with […]

Dow Theory Update for December 9: Stocks close mildly up

posted on: December 9, 2013

Precious metals consolidate Today’s gonna be an ultra short post on this Dow Theory blog. Bottom line: Trends (of primary and secondary extent) have not changed, and remain the same as analyzed in-depth last Friday, December 6th. Sincerely, The Dow Theorist

Dow Theory Update for December 6: Stocks close up strongly but fail to make higher highs

posted on: December 6, 2013

Gold and silver at crossroads. US stocks The Industrials, Transports and SPY closed up. In spite of today’s strong close, no index managed to make a higher high. The primary trend is bullish, as explained here, and more in-depth here. The primary trend was reconfirmed as bullish on October 17th and November 13th, for the […]

Dow Theory Update for December 5: Indistinct day with bearish bias

posted on: December 5, 2013

Gold and silver close down but don’t pierce last recorded primary bear market lows US stocks The Industrials, Transports and SPY closed down. The primary trend is bullish, as explained here, and more in-depth here. The primary trend was reconfirmed as bullish on October 17th and November 13th, for the reasons given hereand here. Today’s […]

Dow Theory Update for December 4: Precious metals take a breather

posted on: December 4, 2013

Stocks weak on bearish volume Let’s get started with our daily commentary on this Dow Theory blog. US stocks The Industrials, Transports and SPY closed down. The primary trend is bullish, as explained here, and more in-depth here. The primary trend was reconfirmed as bullish on October 17th and November 13th, for the reasons given […]

Dow Theory Update for December 3: Stocks close down on higher volumen

posted on: December 3, 2013

Precious metals still very close to reconfirming primary bear market Let’s get started with our daily commentary on this Dow Theory blog. US stocks The Industrials, Transports and SPY closed down. The primary trend is bullish, as explained here, and more in-depth here. The primary trend was reconfirmed as bullish on October 17th and November […]

Dow Theory Update for December 2: Gold and Silver flirting with a reconfirmation of the primary bear market signal

posted on: December 2, 2013

Are going gold and silver to follow GDX and SIL’s fate? Today is going is going to be a short post. After today’s action (with SLV and GLD falling out of bed), what I see on the charts is that SLV and GLD (the ETF proxies for paper silver and gold) are dangerously close to […]

Dow Theory Update for November 27: Stocks make higher highs confirmed

posted on: November 27, 2013

No change of trend in sight. Tomorrow there will not be any post on this Dow Theory blog. It will be a short day, and I will take it easy. US stocks The Industrials, Transports and SPY closed up. The primary trend is bullish, as explained here, and more in-depth here. The primary trend was […]

Dow Theory Update: Day to think about the unrealized profits in SPY

posted on: November 26, 2013

Precious metals weak (as usual) Today’s been a day without any Dow Theory relevant event. However, it is a good day to think about the current long position in SPY, its unrealized profits and, more importantly, the likelihood for these profits to be erased or locked in by subsequent market action. The primary bull market […]

Dow Theory Update for November 25: Stocks and precious metals take a breather

posted on: November 25, 2013

Trader Dan shares bearish outlook for gold Dan Norcini has recently made a conclusive technical analysis of gold. While he is not applying the Dow Theory to gold and silver, I find his analysis flawless, and from a different perspective, confirms the bearishness of the precious metals sectors. Here you can read his November 22 […]

Dow Theory Update for November 22: Stocks make higher highs

posted on: November 22, 2013

Fundamentalist investor Hugh Hendry acknowledges the importance of trends Zero Hedgequotes Hugh Hendry’s latest statement: “[e]verything I believed in I have had to reject. This environment only makes sense through the prism of trends” I am not going to pick on him because it is legitimate to be a value investor. Furthermore, Hendry’s concession attests […]

Face off: Schannep versus “classical” Dow Theory

posted on: November 22, 2013

Part V. Performance comparison under secular bear markets This post was overdue. But time constraints prevented me from writing it before. This is the last post of the saga “Face-off: Schannep versus classical Dow Theory”. As you well know, until now, four posts have analyzed the Schannep’s Dow Theory and Rhea’s (classical) Dow Theory […]