A technical analysis skill based on Charles Dow's principles for identifying market trends through price action and mutual confirmation.
Install & Download
1. ClawHub CLI
The fastest way to install a skill directly from the registry.
npx clawhub@latest install dow-theory
2. Manual Installation
Copy the skill folder to one of these locations
~/.openclaw/skills/ <project>/skills/ Priority: Workspace > Local > Bundled
3. Prompt Installation
Copy this prompt to OpenClaw to install it automatically.
Help me install dow-theory using Clawhub. If Clawhub is not installed, install it first (npm i -g clawhub).
Prefer to download?
Get the raw skill files in a ZIP archive.
What is Dow Theory Analysis?
The Dow Theory skill is a foundational technical analysis framework for Openclaw Skills, designed to help traders and analysts identify long-term market directions. Based on the pioneering work of Charles Dow, it operates on the premise that the market discounts all information and that price movements are not random but follow identifiable trends.
This skill enables users to distinguish between primary trends, secondary corrections, and minor fluctuations. By applying core principles like mutual confirmation and volume verification, it provides a structured methodology for determining whether a market is in an accumulation, public participation, or distribution phase.
Dow Theory Analysis Use Cases
- Identifying the primary market trend for long-term investment strategies.
- Distinguishing between a temporary market pullback and a fundamental trend reversal.
- Validating price breakouts using volume and secondary index confirmation.
- Determining market phases to avoid buying during the distribution (top) phase.
- Strategic alignment with other technical indicators like MACD or Moving Averages.
How Dow Theory Analysis Works
- The user triggers the skill by inquiring about Dow Theory, trend confirmation, or specific market phases.
- The system analyzes historical price action to identify a series of higher highs/lows (uptrend) or lower highs/lows (downtrend).
- It classifies the movement into one of three categories: Primary, Secondary, or Minor trends.
- The skill checks for mutual confirmation across related indices (e.g., Industrial and Transportation) to validate the trend.
- It evaluates trading volume to ensure it supports the direction of the price movement.
- A final assessment is delivered based on closing prices to confirm or deny a trend shift.
Dow Theory Analysis Setup
To integrate this skill into your environment, use the following commands within the Openclaw Skills CLI:
# Install the Dow Theory technical analysis package
openclaw install dow-theory
# Configure preferred indices for mutual confirmation
openclaw config dow-theory --indices "DJI,DJT"
Dow Theory Analysis Data Schema & Taxonomy
The skill organizes market data and signals into a structured format for easy interpretation:
| Feature | Description | Taxonomy |
|---|---|---|
| Trend Classification | Primary, Secondary, or Minor | trend_type |
| Market Phase | Accumulation, Public Participation, Distribution | market_phase |
| Confirmation Status | Confirmed, Divergent, or Pending | status |
| Signal Strength | Based on volume and price breakout levels | confidence_score |
Reference rules and detailed logic are maintained in references/dow-rules.md.
Dow Theory Analysis Advanced Features
- Multi-index mutual confirmation logic to filter out false breakouts.
- Volume-weighted trend validation to confirm the strength of institutional participation.
- Integration hooks for MACD and Wave Theory for comprehensive technical stacks.
- Automated signal generation when closing prices break prior swing highs or lows.
- Historical back-testing support for Dow-based trend reversal signals.
SKILL.md
Loading
Related Openclaw Skills
Chan Theory Technical Analysis
A localized technical analysis framework for market geometry, identifying structural pivots and precise entry points based on the axiom that trends always complete.
Elliott Wave Analysis
An AI-powered technical analysis skill for identifying market wave patterns and Fibonacci retracement levels to forecast price movements.
Growth Investing Framework
A professional financial analysis skill designed to identify and evaluate high-growth companies using net profit, revenue metrics, and market penetration rates.
Naver Shopping Search
A specialized AI agent skill designed to search and compare product data directly from the Naver Shopping ecosystem.
Emergence PPT Orchestra
An iterative, agentic presentation engine that combines Marp Markdown syntax with the Emergence Render API to produce high-fidelity, diagram-rich slide decks.
Danke Blog Writer
A specialized writing assistant that transforms raw ideas into natural, human-like blog posts while stripping away robotic AI patterns.
Featured*
