dow theory ,importance in trading.

Dow Theory ,Importance in trading.

Introduction to Dow Theory. Dow theory aik tijarti nazriya hai jisay charles dow, wall strit journal ke baani, aur un ke saathi edward jones ne 1800 ki dahai ke aakhir mein tayyar kya tha. nazriya is khayaal par mabni hai ke stock market ki naqal o harkat aik qabil passion goi patteren ki pairwi karti hai aur is patteren ko mustaqbil ki market ki naqal o harkat ki passion goi karne ke liye istemaal kya ja sakta hai. Dow theory ,Explanation. Dow theory ke mutabiq, stock market teen qisam ke rujhanaat par mushtamil hai bunyadi rujhanaat, sanwi rujhanaat, aur mamooli rujhanaat. bunyadi rujhanaat woh taweel mudti rujhanaat hain jo kayi saloon tak chal satke hain aur aam tor par majmoi iqtisadi mahol mein tabdeelion se chaltay hain. sanwi rujhanaat qaleel mudti rujhanaat hain jo kayi mahino tak chal satke hain aur aam tor par sarmaya karon ke jazbaat mein honay wali tabdeelion se mutasir hotay hain. mamooli rujhanaat mukhtasir tareen muddat ke rujhanaat hain jo kayi dinon tak chal satke hain aur aam tor par takneeki awamil jaisay ke support aur muzahmat ki sthon se karfrma hotay hain. How Dow Theory Works. Dow theory market ki naqal o harkat ka tajzia karne ke liye dow jones industrial average ( DJIA) aur dow jones transportation average ( DJTA) ka bhi istemaal karti hai. nazriya batata hai ke agar djia aur djta dono aik hi simt mein agay barh rahay hain, to yeh mojooda rujhan ki tasdeeq hai. agar djia barh raha hai jabkay djta gir raha hai, to yeh mumkina rujhan ke ulat jane ka intibah ho sakta hai. Support & Resistance levels and Dow theory. Dow theory ka aik aur ahem pehlu support aur resistance ki sthon ka tasawur hai support level woh qeematein hain jin par khareed ka dabao itna mazboot hota hai ke qeemat ko mazeed girnay se roka ja sakay, jab ke muzahmati satah woh qeematein hain jin par farokht ka dabao itna mazboot hota hai ke qeemat ko mazeed bherne se roka ja sakay. tajir un sthon ko apni tijarat ke liye mumkina dakhlay aur kharji raastoon ki shanakht ke liye istemaal kar satke hain. Conclusion. Dear traders majmoi tor par, dow theory taajiron ko market ki naqal o harkat ka tajzia karne aur bakhabar tijarti faislay karne ke liye aik frame work faraham karti hai. taham, yeh note karna zaroori hai ke koi bhi tijarti nazriya munafe ki zamanat nahi day sakta, aur taajiron ko hamesha ahthyat brtni chahiye aur stock market mein tijarat karte waqt rissk managment ki hikmat e amli istemaal karni chahiye.

Dow theory Dow theory market ki movement par base krti hai. Ye theory is liye bnai gaye hai k market ke movement ko logic sy explain kia gaye. Kuch trader ye smaghty hain k market mn supply or demand asal mn kafi hoti hain prices ko set karny k liye magar ,bhot sary ye smaghty hain k ye knowledge enough nae ha. So dow theory ka starting point is idea par base krta hai k market waves ki surat mn move krti hai. Or ye waves ka imbalance market ke price ko create krta hai. Is theory mn asal ma ye b btany ke kohsish ke gae hai k human nature b market par bhot influence create karti hai. Es k lae bhot sari repots ki help ley kar ye theory banae gae hai. Importance of dow theory. Ye theory is par b base krti hai k trader hamesha trend par trade krna chahty hain. Q k unko pata hota ha k market apna trend he follow krti hai. Is k ilawa is theory mn news ko b consider kia gya ha k news mn bhot ziada power hoti hai k wo market ko apni marzi sy drive kar sakti hain. Market asal mn cycles ke base par move krti ha. Dow theory mn market ki movement ko 3 types ma divide kia gya ha. The main movement, the medium swing or akhir ma the short swing. Is theory ma volume par b discussion ke gaye ha k market ki movement asal ma volume par b base karti hai. Market ma trend tb tak exist karta hai jb tak esko pull back ni kar leya hata. Description: Dow theory ky mutabiq market mn three major moving phases hoty hain jin mn 1 to main movement hoti hai jo ky market ki movement Bullish ya Bearish ho sakti hai. Is k ilawa ik medium swing hoti hai jis mn main movement k opposite movement dekhi gati hai. Yeh movement market mn retracement krti hai aur is trha markeet mn 33 % se le kar 66% tak retracement dekhi jati hai. Isky ilawa ek short swing hoti hai. Yeh 3 phases market ki movement mrin shamil hoti hai. Main movement taqreebn sal ya 2 sal k liye hoti hai jab ky medium swing mein aap 2 to 3 months tk movement dekhty hain.​Isky ilawa​10 days to 1 month ki short swings dekhny ko milti hain. Trading in DOW THEROY: Dow theory aik technical framework hay jis mn market ka uptrend us waqt predict kia gata hy, jb iski average advances is k previous khas high say up ho. Yani past tome ka aesa high jis main isko kafi faida howa ho lakin average advances is say bhi ab high ho gia ho to ham keh sakty hain keh market ab up trend main jaye gi. Jesy k ham observe kary hain keh market main hamesha, currencies pairs say lay ker, stocks aur commodities bhi aik dusry ki movement ko rokny ya barhany ka sabab banti hain. Is theory main bhi basically isi bat ko taraf isharah kia gia tha.