What Is The Dow Theory & How To Use It

Dow Theory

The Dow Theory is a technical assumption that predicts the uptrend market if one of its averages goes above a previous high. In 1901 Charles H. Dow presented the Dow Theory when he compared the trends with the ocean waves. What is the Dow Theory? The Dow Theory is a trading approach presented by Charles H. Dow, who, with Edward Jones and Charles Bergstresser. They developed the Dow Jones & Company Inc. company and created the Dow Jones Industrial Average in 1896. Dow assumed that the stock market was a reliable measure of business conditions within the economy. By analyzing …READ MORE