Category: Insights

Dow Theory Update for Jan 24: Primary bear market signaled for Gold and Silver ETFs (GDX and SIL)

posted on: January 24, 2013

Stocks holding their own. Let’s begin our analysis of the markets under the prism of the Dow Theory. The SPY, Industrials and Transports closed up, thereby making a new confirmed high, which is bullish. Volume was higher than yesterday’s and since, overall (and in spite of NASDAQ action), the major indices closed up. This […]

Dow Theory Update for Jan 23: Stocks up again

posted on: January 23, 2013

Precious metals mixed. Let’s get started with our Dow Theory commentary for today in this blog. The SPY, Industrials and Transports closed, once again, up. It goes without saying that the primary and secondary trend remains bullish. Volume was lower than yesterday’s. Since it was an up day in has a bearish connotation. For the […]

Dow Theory Update for Jan 22: Another bullish day

posted on: January 22, 2013

Precious metals and stocks close up. Recently, Richard Russell, author of the famed “Dow Theory Letters,” with almost 60 years of experience on his back stated: “Despite a steady parade of fear stories and scary newspaper headlines, the markets plow steadily and fearlessly ahead. I can’t explain it, nor do I want to, but ultimately, […]

Dow Theory special issue: How often does the Dow Theory outperform buy and hold?

posted on: January 18, 2013

Evaluating performance on a year-end basis. It is no secret that I am deeply influenced by Schannep’s Dow Theory flavor. To learn more about Schannep’s flavor, I suggest you go here, or if you plan to buy his excellent book here. For reasons that go beyond my comprehension (maybe because he’s the best-performing Dow Theorist) […]

Dow Theory Update for Jan 18: No time for excuses. Stocks market in primary bull market even under “classical” Dow Theory

posted on: January 18, 2013

The Rhea version of the Dow Theory flashes primary bull market signal. There are days when I keep this daily commentary short. No reason to babble when the market has nothing relevant to say. Today is not one of such days. Dow Theory relevant events are piling up. As you know I announced in this […]

How long do bull and bear markets last?

posted on: January 17, 2013

What is the expected performance of bull markets? Here is an interesting article posted on Zero Hedge entitled “Time dependency of bull markets”. While the definition of bull or bear market does not necessarily fit with the primary and bear markets as defined by the Dow Theory, it gives interesting insights as to what expect […]

Dow Theory Update for Jan 17: SPY and Industrials bettered their Sep 14, 2012 closing highs

posted on: January 17, 2013

Gold finally confirms silver upward movement. Well, let’s see what the Dow Theory has in store for us today. Today is a rich day in technically significant events. Are the markets sensing liquidity, an improvement in economic conditions or this is merely the last blow off before the onset of a secondary reaction? We really […]

Dow Theory Update for Jan 16: Indecisive day for stocks

posted on: January 16, 2013

Gold and silver up Let’s get started with our Dow Theory commentary for today. The SPY and the Industrials closed slightly down. The Transports closed up. The primary and secondary trend remain bullish. Today’s volume was lower than yesterday’s. Given that it was a down day, it has a bullish implication, as declining prices were […]

Dow Theory Update for Jan 15: Mildly bullish day

posted on: January 15, 2013

Gold refuses to confirm silver. Let’s get started with today’s post in this Dow Theory blog. The SPY, the Industrials and the Transports closed up. The Industrials and the Transports have jointly bettered yesterday’s highs which, since yesterday’s action also entailed new confirmed highs, is bullish. The primary trend and secondary trend for stocks remains […]

Dow Theory Update for Jan 14: No changes in trends

posted on: January 14, 2013

Gold and silver up. Today is going to be a short post, since not all days are rich in Dow Theory significant events. The Industrials and Transports closed up. The SPY closed down. The primary and secondary trend remains bullish. Today’s volume was lower than yesterday’s. Since the SPY was down today, I’d say that […]

Dow Theory Special Issue: An Answer to the New Low Observer (NLO)

posted on: January 12, 2013

This post is the consequence of a commentary posted by the New Low Observer (NLO) on an Instablog in Seeking Alpha. You can find the post and NLO’s comments here: Since the NLO’s commentary was very extensive, I decided that my reply would be a new post. I hold the people at the NLO in […]

Dow Theory Update for Jan 11: Stocks mixed. No change in trends

posted on: January 11, 2013

Gold and silver down. Let’s begin with our Dow Theory commentary for today in this blog. The SPY closed down (a cent), the Industrials up and the Transports down. A trendless day. The primary and secondary trend is bullish. Today’s volume was lower than yesterday’s. Since overall it was a bearish day (albeit very muted) […]