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Even a broken clock is accurate twice each day :)
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At 07:17 AM 9/1/98 -0400, you wrote:
>
>Don't know which Dow Theory you're referring to... the Dow theory of
>Charles Dow works just fine.
>
>See the 8/3/98 issue of "Dow Theory Forecasts" by Charles Carlson and crew
>or the 7/29/98 issue of "Dow Theory Letters" by Richard Russell. Both of
>these pubs said that a close in the Industrials below 8627 would be a sell
>signal. Such move occurred on 8/4.
>
>
>-----Original Message-----
>Date: Tuesday, September 01, 1998 4:25 AM
>Subject: Re: Dow Theory model
>
>
>Dow Theory had some validity many years ago when the markets were primarily
>traded by a few elite types who had the inside scoop and information
>traveled very slowly. But that was long before the days of Mutual Funds,
>Retirement Funds, Index Funds, Hedge Funds and 9000 Funds chasing 2000
>Stocks... Long before the days of astronomical PE ratios, and Internet
>Trading and Mom, Pop and the Kids firing off Buys & Sells on a whim or a
>Whisper Number... Long before the days of Stock Index Futures, Earnings
>Surprises, and Computerized Program Trading...
>
>Using Dow Theory today to predict anything about the Market is a bit like
>attempting to use a 1920 Model-T mechanic's manual to diagnose a problem
>with your 1999 Corvette...
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