DOW THEORY IS THE OLDEST AND THE FIRST THEORY CREATED BY CHARLES H DOW..IT IS USED TO DETERMINE THE TREND OF THE MARKET.IT IS USED FOR PEOPLE WHO TRADE ON MONTHLY BASES.LINE CHARTS ARE MAINLY USED TO DETERMINE DOW THEORY.HIGHER BOTTOM AND HIGHER TOP IS GENERALLY A BULLISH TREND AND LOWER TOP AND LOWER BOTTOM IS BEARISH TREND.WHEN DEMAND IS GREATER THAN SUPPLY WE BUY.WHEN SUPPLY IS GREATER DEMAND WE GENERALLY SELL.SUPPORT LEVEL IS THE LEVEL AT WHICH THE STOCK FINDS IT HARD TO FALL AND RESISTANCE LEVEL IS THE LEVEL ABOVE WHICH THE STOCK GENERALLY DOES NOT GO ABOVE.
, , Dow Theory, bearish, Bullish, Demand, resistance, Supply, support
