August 24, 2017

Dow Theory Update for August 24: The Transports make lower closing lows whereas the Industrials and Transports fail to do so

Manuel Blay



Hence, no secondary reaction yet.

The primary trend is bullish since November 21st, 2016, as explained here and here.
The primary trend was reconfirmed on July 3rd, 2017 as was explained here
The Transports have made today lower closing lows. Since their 7/14/2017 closing highs they have declined for 29 trading days. Nonetheless, the Industrials and the SPY have been declining for just 9 trading days. For the reasons I gave here, there is no secondary reaction yet.
Here you have an updated chart. 
SPY%2BINDUSTRIALS%2BTRANSPORTS%2B24%2BAUGUST%2B2017
No secondary reaction yet (orange rectangles on the right side of the chart)
GOLD AND SILVER
The primary trend was declared bearish on July 7th, 2017, as explained here and here

The secondary trend is bullish, as was profusely explained here.
 
The recent pullback does not qualify to setup SLV and GLD for a primary bull market signal as explained here.
 
GOLD AND SILVER MINERS EFTs
The primary trend is bearish, as was explained here and here.
The secondary trend is bullish as explained here
As was explained here, SIL and GDX have set up for a primary bull market signal.
Days pass by and nothing happens. Well, this is normal. Patience. 
Sincerely,
The Dow Theorist

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