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A Technical Approach To Trend Analysis: Practical Trade Timing for Enhanced Profits
book

A Technical Approach To Trend Analysis: Practical Trade Timing for Enhanced Profits

by Michael C. Thomsett
July 2015
Intermediate to advanced content levelIntermediate to advanced
352 pages
9h 40m
English
Pearson
Content preview from A Technical Approach To Trend Analysis: Practical Trade Timing for Enhanced Profits

The Dow Theory Applied

The tenets of the Dow Theory can be observed in the study of price charts, more in hindsight than in foresight. At the moment of analysis, it is more difficult to interpret the meaning of a reversal in price. It might be a retracement or a secondary trend, or it might be the beginning of a new major trend.

As applied to individual stocks, all of the Dow tenets serve as important features of charts and the discipline of technical analysis. To study the Dow Theory in practice, a review of price charts for the industrials and transportations is instructive. Even with the imperfections of price-weighted averages like the DJIA, the tenets of this theory provide a foundation for analysis of trends in individual stocks.

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Publisher Resources

ISBN: 9780134190662Purchase book