Dow Theory Update for September 7: The Transports confirm the primary bull market signal of August 11

The Transports remain, though, below the previous bull market high of 8109.19

US STOCKS

The primary and secondary trend is bullish as explained here and here

The primary bull market signal of August 11^th was given without the Transports’ confirmation (only the SPY and Industrials broke up their secondary reaction highs). Today the Transports have closed at 8057.60 and hence now we have triple confirmation. However, the Transports remain below the previous bull market closing high of 8109.19. A breakout of this latter figure would be a significant bullish accomplishment.

Recent declines did not fulfill the “time” requirement for a secondary reaction. I don’t even bother to calculate the “extent” requirement. Furthermore, the SPY is flirting with higher highs.

Here you have an updated chart

Recent declines in stocks have not resulted in a secondary reaction

 

GOLD AND SILVER

The primary trend is bullish (Dow Theory signal of March 17^th, 2016), as reported here and here.

The secondary trend is bearish (secondary reaction against the primary bull market), as explained here.

GOLD AND SILVER MINERS ETFs

The primary trend is bullish as explained here, and more recently here

The secondary trend is bearish (secondary reaction against the primary bull market), as explained here.

Sincerely,

The Dow Theorist