ABSTRACT
This chapter talks about investments. One reason the rich get richer is they practice the long-long term investing. They correctly assess business conditions and economic circumstances and take deeply entrenched positions that, in secular bull markets, return them profits beyond the hope of swing traders and midterm traders. Charles H. Dow Theory analysts examine the market and venture their expert opinions as to whether Dow Theory says the market is a buy, a sell, or a hold. The chapter compares the interpretation of the market using Dow Theory to the ancient Roman practice of haruspication—that is, the examination of animal or bird entrails to forecast the future. A fact that all traders know in their bones was enunciated by the polymath, Benoit Mandelbrot, who stated market price behavior is fractal. The chapter explains the stairstops rising as higher wave lows are made.
