... an understanding and appreciation of Dow Theory provides a solid foundation for any study of technical analysis. Much of what is discussed in [this entire book] represents some adaptation of Dow's original theory. The standard definition of trend, the classification of a trend into three categories and phases, the principles of confirmation and divergence, the interpretation of volume, and the use of percentage retracements (to name a few), all derive, in one way or another, from Dow Theory.
John Murphy, Technical Analysis of the Financial Markets
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