Posts Tagged ‘charles dow’
Charles Dow Rolls in His Grave: The Distortion of the Average He Made Famous
Friday, March 6, 2009 17:57 6 CommentsHave you ever asked yourself why the Dow Jones Industrial Average contains non-industrial stocks? Why such a large weighting is given to financial companies such as American Express, Bank of America, Citigroup, JP Morgan and AIG (Before its removal)? After all, you wouldn’t expect to see General Motors included in the healthcare index or Goldman [...]
Dow Breaks November Lows; Triggers Fresh Dow Theory Sell Signal
Thursday, February 19, 2009 22:03 5 CommentsThe Dow Jones Industrial Average breached its November low, closing below 7500 for the first time since October 2002.
In only 18 months, the index has given back all of the gains achieved over the previous 5 years.
The chart below shows the index taking out the 2002 lows, but keep in mind that this is a [...]
