Don't fight the trend...Dow is bullish again!

Dow Theory states: If shares of industrial companies are hitting fresh highs at the same time as shares of the transportation companies that deliver those goods , it signals that the market's upward move is healthy.

The Dow has been a laggard for several months and is one of the last indexes to hit a new high. [The NYSE Composite also hit a new high last week].

The shift to the bull camp — after the Dow Jones industrial average has already climbed 65% from its March 9, 2009, bear market low — occurred this week when the Dow took out its previous bull market high attained on Jan. 19. The new high for the industrials follows a new high notched a week earlier by the Dow Jones transportation average — a key confirmation signal, according to the century-old Dow Theory.

Nifty continues its uptrend...it will be interesting to see how long and how far it continues.