The Dow theory is a theory which guides us to identify the market trend & supply, demand zones. it is an upward/bullish trend if its advances above a previous important high price and is in bearish trend when it fails to cross previous tops & bottoms.
Line chart, daily basis with duration of 2 years is considered to identify and forecast Dow Theory.
If price crosses the Higher top & higher bottom in sequential order then it is a bullish trend. If price fails to cross the previous lower top & lower bottom then it is a bearish trend.
As per Dow theory, one should buy the stock immediately it crosses the previous higher top with high volume & sell the stock when it fails to cross the previous lower bottom. it is reliable for 2-3 months.
Dow theory remains correct/precise to identify the market trend even after 100 years which makes it to top of any analysis.

1 Comment
  1. vignesh 6 years ago

    Hi sir,
    your work is good.

Leave a reply

©2024 | Rights Reserved | EQSIS | Terms and ConditionsPrivacy Policy

CONTACT US

We're not around right now. But you can send us an email and we'll get back to you, asap.

Sending

Log in with your credentials

Forgot your details?