Dow Jones Index calculation flawed

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There is a very interesting article here about why the calculation dealing with Dow Index weighting and stock splits dating back to the 1920's is fundamentally flawed. Very interesting - the Dow as is, is incorrectly priced based on the value of the underlying component stocks.

must read for Dow traders IMO.

http://www.traderdaily.com/column4/3469.html
 
I do agree with the Andrews analysis they provide...

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One small drop remaining to Dow 10,700-11,000 before new run to Dow 18,000 +

Dow 13,300 is only the median line and MINIMUM projection
 
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