{"product_id":"v114tradnot","title":"V.17:3 (144-145): Traders' Notes","description":"For those traders who want a clear and\nbrief explanation of various concepts often\ntouched on in technical analysis and trading,\nwe offer Traders Notes.\u003cbr\u003e\u003cbr\u003eINTERMARKET ANALYSIS\u003cbr\u003e\u003cbr\u003eIntermarket analysis, one of the pillars\nof technical analysis, is the comparison\nof the price action of one market to\nanother. This comparison can be as\nsimple as placing two different charts\nside by side. The most widely endorsed\nuse of intermarket analysis hails from\nthe Dow theory, whereby the movement\nof the Dow Jones Industrial Average\n(DJIA) is compared with the Dow\nJones Transportation Average (DJTA).\nThe theory holds that if both averages\nare trending higher, the investor should\nconclude that the underlying fundamentals\ndriving the stock market are sound\nand that the trend of the market is up.\nWhen one of the averages begins to\ndiverge for example, one average\ntrends to higher highs, while the other\naverage fails to make a higher high a\nwarning is signaled (Figure 1) but not\nnecessarily a reversal, as the markets\nmay get in gear at a later point. The key\nis that intermarket analysis can aid the\ninvestor in determining the trend of the\nmarket as well as alert the investor to a\npotential trend reversal.","brand":"store-traders-com","offers":[{"title":"Default Title","offer_id":52133905990001,"sku":"\\V17\\C03\\023NOTE.PDF","price":2.95,"currency_code":"USD","in_stock":true}],"thumbnail_url":"\/\/cdn.shopify.com\/s\/files\/1\/0900\/3843\/6209\/files\/unnamed_17adbe55-8551-459e-bdf0-61e3c57a2050.jpg?v=1739656359","url":"https:\/\/shop.traders.com\/products\/v114tradnot","provider":"Stocks \u0026 Commodities","version":"1.0","type":"link"}