Did Dow Theory Fail? by Tim W. Wood, CPA
ARTICLE SYNOPSIS ...Did Dow Theory Fail? by Tim W. Wood, CPA
Here's a look at the chain of events that have
taken place since 2002 and what we can learn
AS the Dow Jones industrials topped out in
2000 and plunged nearly 38% into the 2002 low, every indication, according to Dow theory,
was that an extended secular bear market had begun.
In addition, because of Dow theory phasing along
with the normal bull and bear market relationships,
indications were that this was the rally separating
phase I from phase II of a much longer-term bear
market. So what went wrong? I will examine the
chain of events that...