Dow Theory update for Sep 17: Zzzz!!!

Today was another irrelevant day from a Dow Theory standpoint, so I’ll try to keep this post short.

All the markets we monitor went down. However, one day down signifies nothing under Dow Theory. Therefore, both the primary trend and the secondary one remain bullish.

As you know from other posts in this blog, I’m eagerly waiting for a full-fledged secondary reaction to occur. Such a secondary reaction would raise our stop loss. If this seems puzzling to you, maybe you should read this post 

The only thing to note is that volume has been bullish short term. Today’s volume has been smaller than yesterday’s, which is a bullish sign because it was a down day. So the pattern we have been following in the last days of greater volume in up days than in down days continues unabated.   

By this token, volume has been bullish on 12 of the last 14 days. This is a real bullish accomplishment.

Look at the chart to see the updated patter of volume. The red arrows display bearish volume (irrespective of being an up or down day) and the blue arrows display bullish volume.

Furthermore, note that the trend line of volume has confirmed the secondary trend of the stock market.

Now news under Dow Theory.  Bull market uncorrected. Volume bullish

I won’t write more today, since there are 3 new posts that were published in this blog since my last market update of Friday. So, for those with an inclination for reading, there is stuff to digest which I hope may prove useful.

And now the figures:

 

DOW THEORY PRIMARY TREND MONITOR SPY
			SPY
Bull market started		06/04/2012	128.1
Bull market signaled		06/29/2012	136.1
Last close		09/17/2012	146.74
Current stop level: Bear mkt low			128.1
Unrlzd gain %	Tot advance since start bull mkt	Max Pot Loss %
7.82%	14.55%	6.25%
DOW THEORY PRIMARY TREND MONITOR GOLD (GLD)
			GLD
Bull market started		05/16/2012	149.46
Bull market signaled		08/22/2012	160.54
Last close		09/17/2012	170.4
Current stop level: Bear mkt low			149.46
Unrlzd gain %	Tot advance since start bull mkt	Max Pot Loss %
6.14%	14.01%	7.41%
DOW THEORY PRIMARY TREND MONITOR SILVER (SLV)
			SLV
Bull market started		06/28/2012	25.63
Bull market signaled		08/22/2012	28.92
Last close		09/17/2012	32.99
Current stop level: Bear mkt low			25.63
Unrlzd gain %	Tot advance since start bull mkt	Max Pot Loss %
14.07%	28.72%	12.84%
DOW THEORY PRIMARY TREND MONITOR ETF SIL
			SIL
Bull market started		07/24/2012	17.08
Bull market signaled		09/04/2012	21.83
Last close		09/17/2012	24.68
Current stop level: Bear mkt low			17.08
Unrlzd gain %	Tot advance since start bull mkt	Max Pot Loss %
13.06%	44.50%	27.81%
DOW THEORY PRIMARY TREND MONITOR ETF GDX
			GDX
Bull market started		05/16/2012	39.56
Bull market signaled		09/04/2012	47.77
Last close		09/17/2012	53.89
Current stop level: Bear mkt low			39.56
Unrlzd gain %	Tot advance since start bull mkt	Max Pot Loss %
12.81%	36.22%	20.75%

 Sincerely, 

The Dow Theorist