GLD and SLV close modestly positive
Let’s get started with our Dow Theory commentary for today.
The SPY, Industrials and Transports closed down.
Today’s volume was lower than yesterday’s. Since stocks closed down, expanding volume has a bullish connotation. Volume seems to suggest some degree of short term bearishness.
Gold and Silver
SLV and GLD closed up. The primary trend is bearish, as explained here and reconfirmed bearish here. The secondary trend is bullish (secondary reaction against the primary bearish trend), as explained here.
I am closely monitoring SLV and GLD’s pullback. Until now such pullback doesn’t qualify for a primary bull market signal setup. Either SLV or GLD (or both) should further extend their decline. Until now SLV and GLD have declined slightly more than 4% from their secondary reaction highs. This is not enough given current volatility readings.
SIL closed up, and GDX closed down.
The secondary trend for GDX and SIL is bullish, as explained here.
Here you have the figures for the SPY, which represents the only market with a suggested open long position.
|Data for August 7, 2013|
|DOW THEORY PRIMARY TREND MONITOR SPY|
|Bull market started||06/24/2013||157.06|
|Bull market signaled||07/18/2013||168.87|
|Current stop level: Bear mkt low||157.06|
|Unrlzd gain %||Tot advance since start bull mkt||Max Pot Loss %|
The Dow Theorist