The bollinger bands indicator pdf may be calculated using the numbers of puts and calls or on a dollar-weighted basis. However, the ratio is considered to be a contrarian indicator, so that an extreme reading above 1.
0 is actually a bullish signal, and vice versa. This page was last edited on 9 December 2015, at 09:24. Unsourced material may be challenged and removed. Dow theory, based on Dow’s editorials.
The six basic tenets of Dow theory as summarized by Hamilton, Rhea, and Schaefer are described below. The “main movement”, primary movement or major trend may last from less than a year to several years. It can be bullish or bearish. The “short swing” or minor movement varies with opinion from hours to a month or more. The three movements may be simultaneous, for instance, a daily minor movement in a bearish secondary reaction in a bullish primary movement.