Dow Theory Says 4-year Bull Market Still Intact

Around 100 years ago Charles Dow came up with the idea of the Dow Theory.

The theory was derived from 255 Wall Street Journal editorials written by Charles H. Dow(1851–1902), journalist, founder and first editor of The Wall Street Journal and co-founder of Dow Jones and Company.

Dow Theory has six basic tenets. Bottom line so goes the Dow Jones Industrial’s Ave, Dow Transports and Dow Utilities, most often so goes the broad markets.

Below looks at the Dow Industrials, Transportation and Utilities Indices

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These three remain inside of well defined 4-5 year rising channels and support has not been broken to the downside, despite short-term negative price action taking place.

Whether you believe in the Dow theory or not, reality is this….rising bull market channels are still in place.

Another reality observation would be this…Should each of these break rising support channels at the same time, then the multi-year bull market could be in trouble.