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DOW THEORY  |  August 18, 2003
Industrials Fail to Confirm Transports
Dow Theory was last discussed in late May. At the time, the Dow Transports moved to new reaction highs, but the Dow Industrials had yet to confirm. Since then, the Dow broke above its January highs (blue arrow) and moved to a new reaction high at 9323. In Dow Theory terms, this new high in the Dow Industrials (green arrows) confirmed the Dow Transports and is bullish until proven otherwise.
by Arthur Hill

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