Extent requirement not met yet.
US STOCKS
On March 1, 2017, the
Industrials, Transports and SPY made jointly higher highs. From this point
there’s been a mild decline. The Transports have declined more than 3%. The SPY
and Industrials have declined much less than 3%. Hence the extent requirement for a secondary reaction has not been met (at
least two indices should confirm). As to the time requirement, the three indices have been declining for 9
trading days, and more than 10 calendar days. Hence, the time requirement has been met. In the very moment, the
Industrials or the S&P 500 (SPY) decline more than 3%, we will declare
stocks under a secondary (bearish) reaction against the primary bull market.
Under the classical/Rhea Dow
Theory we are still far from a secondary reaction as of this writing.
Here you have an updated
chart:
 |
| As soon as the extent requirement is met, a seconary reaction will be declared |
GOLD AND SILVER
The primary trend is bearish,
as was explained here and here. The primary bear market was signaled on September
30rd, 2016.
The secondary trend is bullish
(secondary bullish reaction against the primary bear market), as explained here.
As was explained here, SLV and GLD have set up for a
primary bull market signal. Please mind that "setup" is not tantamount to the actual signal. If the last recorded primary bear market lows were jointly revisited, the primary bear market would be reconfirmed.
As an aside, it is worth mentioning that the primary
trend when using weekly bars is bearish, which tends to be headwind for any
meaningful bullish action.
GOLD AND SILVER MINERS EFTs
The secondary trend is bullish
as explained here
If the last recorded primary bear market lows were jointly revisited, the primary bear market would be reconfirmed.
As an aside, it is worth mentioning that the primary
trend when using weekly bars is bearish, which tends to be headwind for any
meaningful bullish action.
Sincerely,
The Dow Theorist
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