What is a Minor Uptrend?

A minor uptrend is a corrective movement in the market -- lasting less than three weeks – that goes against the direction of a secondary downtrend.

How Does a Minor Uptrend Work?

The minor trend is the last of the three trend types in Dow Theory -- the other two types are primary and secondary trends. Because minor uptrends (and minor trends, generally) exist over such a short time period, they don't redefine market movement. Due to this short-term nature, minor trends and minor uptrends are not considered a primary focus of Dow theorists.

Minor uptrends generally occur within the secondary downtrend, which typically lasts from one-third to two-thirds of the primary trend's movement. An example of a minor uptrend is interpreted in Figure 1 below:


Why Does a Minor Uptrend Matter?

When analyzing Dow Theory trends, it is a challenging task for investors to predict the length of minor uptrends, as they create considerable noise within primary uptrends and secondary downtrends. If investors get distracted by a minor uptrend, it can lead to irrational trading.

Minor uptrends should be placed into the context of the overall secondary downtrend until all indicators and evidence suggests that the trend has reversed.

Read on to learn about Top Tools for Successful Technical Analysis.

Ask an Expert about Minor Uptrend

All of our content is verified for accuracy by Paul Tracy and our team of certified financial experts. We pride ourselves on quality, research, and transparency, and we value your feedback. Below you'll find answers to some of the most common reader questions about Minor Uptrend.

Be the first to ask a question

If you have a question about Minor Uptrend, then please ask Paul.

Ask a question
Paul Tracy
Paul Tracy

Paul has been a respected figure in the financial markets for more than two decades. Prior to starting InvestingAnswers, Paul founded and managed one of the most influential investment research firms in America, with more than 3 million monthly readers.

Verified Content You Can Trust
verified   Certified Expertsverified   5,000+ Research Pagesverified   5+ Million Users