Initially, the principles set forth by Charles Dow, were used for the analysis of established American indexes: industrial and rail. But with the same result the majority of the Dow theory, the analytical findings can be applied in the currency markets.
The indices take into account everything. According to Dow theory, any factor that could, one way or another, affect the supply or demand, always will be reflected in the dynamics of the index. Of course, these events are unpredictable, however, they are immediately taken into account the market and affect the dynamics of the indices.
The indices take into account everything. According to Dow theory, any factor that could, one way or another, affect the supply or demand, always will be reflected in the dynamics of the index. Of course, these events are unpredictable, however, they are immediately taken into account the market and affect the dynamics of the indices.
