Dow Theory relies on a higher trough followed by a higher peak, to demonstrate that an uptrend is in place as set out in the diagram below (and vice versa of course for a downtrend).

        

Dow Theory Scan Properties

Trigger Type:    Allows you to adjust the scan for Long or Short conditions.

Bar:    Sets how many consecutive higher or lower bars must occur before a swing will turn. For example, if set to three, there must be three successive higher bars before a down trending market will swing up.

Outside Bar Calc:    Sets how outside bars are treated in the swing calculation. Click the drop down arrow to select the Use Outside Bar or Use Next Bar option.

Use Inside:    If this option is checked, Inside Bars are used in counting swings, otherwise they are ignored.

Use Breakout:    Takes large price movements into consideration if the high or low of a swing is broken before the set number of bars have occurred.  Can only be used on a Swing Chart using more than 2 bars.

Period Type & Period Amount

These settings controls the format of the data the criteria are scanned against.  For example, by selecting Daily for the Period Type, and 1 as the Period Amount, the scan criteria will be calculated off a day bar period (a daily chart).  If it was set to Weekly, the criteria would be calculated off a Weekly bar period (a weekly chart). The following Period Types are available:

•    Daily
•    Weekly
•    Monthly
•    Yearly

The Period Amount is a user definable number.