Dow Jones

The Dow Jones Industrial Average, or Dow Jones, is a weighted index representing the stock price action of 30 of the largest U.S. corporations. It is the world’s most widely followed stock market index. The Dow Jones Industrial Average was created on May 26, 1896 and is named after Charles Dow and Edward Jones. The earnings and revenues of large corporations are often leading economic indicators. Hence, economists often look at the Dow Jones Industrial Average as an indicator of economic activity. If the index is hitting new highs, economic activity can be expected to be brisk in the next six months. Comparatively, if the index is falling to new lows, poor economic times could lie ahead.


Stock Market: Two Proven Indicators Confirm Trouble Ahead

By Monday, May 4, 2015

Stock market crashTrading volume on the stock market is plunging. In classical technical analysis, rising stock prices on low trading volume are usually a warning sign of lower prices for stocks ahead. Why? Lower volume suggests there is not much investor participation in the stock market advance.The chart below shows the change in volume on the Dow Jones. Read More

Call Options Your Best Strategy to Buy with Markets at Their Highs?

By Friday, February 27, 2015

Call Options Your Best StrategyStock Markets Still Near Record-HighsIn my previous commentary last week, I suggested the stock market would likely go higher by year-end. But I also warned that investors keep their guard up and enjoy some profits.Now here we are, a week later, and the stock market is at yet another record-high after the moves by the DOW and S&P 500. Read More

Dow Jones Transportation Stocks Suggesting Bullish Fourth Quarter?

By Friday, November 7, 2014

Where Are Stocks HeadedIn terms of stock market direction, the Dow Jones Transportation Average recently pushed through to another new record-high. The index retrenched along with the broader market in early October, but it fought back hard to just over 8,800.Within the index, countless stocks have been doing well. Alaska Air Group, Inc. (ALK) slumped to. Read More

India Buying 450% More Gold?

By Monday, October 27, 2014

How Can Gold Prices Possibly Go DownThe demand and supply situation for gold bullion, something I’ve often talked about in these pages, has taken a new course…one very favorable to gold bulls like me.Gold buying in India is up 450% in the first nine months of 2014 compared to the first nine months of 2013. (Source: Government of India, October 14, 2014.) The jump in gold. Read More

What the Fear Index Is Telling Us About Stocks Now

By Friday, October 17, 2014

Why This Stock Market Rout Is Here to StayOver the past few months, I warned my readers the stock market had become a risky place to be. While I also suggested euphoria could bring the market higher than most thought possible—to the point of irrationality—the bubble has now burst. Key stock indices are falling and fear among investors is rising quickly.Please look at the. Read More

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From: Michael Lombardi, MBA
Subject: Golden Opportunity for Stock Market Investors

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