Primary trend of stocks continues bearish
Let's begin with our Dow Theory commentary for today.
The SPY, Transports, and Industrials closed up. As explained here, the Transports have failed to confirm for 5 consecutive days the higher closing highs made by the Industrials and the SPY . Therefore, no primary bull market has been signaled yet.
The secondary trend is bullish, as has been explained here.
Today's volume was higher than yesterday's, which is bullish, as higher prices were supported by expanding volume. However, the overall pattern of volume remains bearish as:
1. There are more red arrows (bearish volume days) than blue arrows (bullish volume days), as you can see from the chart below.
2. Volume clearly recedes when prices stage a rally lasting some days (declining trend lines).
On the plus side, we have to note that five trading days ago, we had a bullish pivot (highlighted with an ellipse), as was explained here.
Here you have an updated chart:
Gold and Silver
The secondary trend for GDX and SIL is bullish, as explained here.
The Dow Theorist