Line chart is used for highlighting the Trend based on Dow Theory. Higher Bottom ; Higher Top; Lower Bottom; Lower Top are marked in the chart. High Volume and Average Volume are marked. Top is the Supply Zone and Bottom is the selling Zone. Comparison of Higher Bottom to Higher Top with Good volume Will show a ” Bullish Trend”. We can create Long Position.Lower Top Lower Bottom with Volume will show ” Bearish Trend”. We can Create SHORT position. Major Tops and Bottoms are taken for consideration from the chart. Higher TOP to Higher Bottom is not a sequence and will not create a Bearish Trend. Higher Bottom to Lower top is not also a sequence. The trend is reliable for 1-3 months.
Dow Theory- Two year trend
