Dow Theory Explained|Reading Higher Highs and Higher Lows
Dow Theory reads trend from price structure — higher highs and higher lows. This guide covers swing points, spotting reversals, and backtesting your own trend-reading rules.
Practice US equities, FX, commodities, and crypto on past charts. Examine your own habits with AI. ENTRIQ Lab is a hands-on log of that process.
Dow Theory reads trend from price structure — higher highs and higher lows. This guide covers swing points, spotting reversals, and backtesting your own trend-reading rules.
How you draw a trendline changes your bias. This guide covers wick vs. body, touch count, and defining a valid break, then how to backtest it yourself.
How to read double tops, triangles, and head and shoulders neutrally. Covers false breakouts, backtesting, and two sample rules you can test yourself.
How to draw support and resistance, judge a level's strength, and read role reversal. Includes backtesting and two sample strategy-rule templates.
Build rules for fading the top and bottom of a range, tell it apart from a breakout, and backtest the round trips on past charts. Includes two sample rules.
Turn a moving average's slope, crossovers, and bounces into rules, handle whipsaws and ranges, and backtest it on past charts. Includes two sample rules.
Define how extreme a move must be before you fade it, avoid catching a falling knife, and backtest the rules on past charts. Covers oscillators and RSI.
Learn to define how deep a pullback you wait for, avoid chasing and falling knives, and backtest the rules on past charts. Includes two sample rule entries.
Learn to define your breakout entries and exits, tell real breaks from fakeouts, and backtest the rules on past charts. Includes two sample rule entries.
Trend following sounds simple—ride the move. But the edge is in how you judge the trend and where you exit. This guide covers reading trends, entries and exits, and how to write your strategy rules two ways—as a discretionary read and as numeric conditions—then backtest them into your own style.
A neutral rundown of eight core trading strategies—breakouts, buying dips, fading moves, and more. Each comes with what it keys on, a sample strategy-rule entry, and how to make it your own through backtesting.
The same validation in this article can be reproduced with your own method. On past charts, do the classics really work?