 The following is a presentation of TFNN The Trader's Edge with Steve Rhodes, toll free at 1-877-927-6648 or internationally at 727-873-7618. The Trader's Edge. Now, Steve Rhodes. Good morning, folks. Welcome to the February 1st, the terrific Thursday edition of today's Trader's Edge show. I'm your host, Steve, Perseverance Rhodes, who absolutely knows that each of us should always be pioneers of our future versus prisoners of our past. Hope everyone out there is having a great day. Let's make sure we have an extraordinary one. Now, the easiest way to do that is to always remember that life is happening for us, not to us. That's right. When you and I make that one little two-by-four shift, well, it means we can find the gift in every set of circumstances that life is going to toss at us. Now, today you and I are going to go check on the circumstance of these markets. We'll go figure out what those bulls and bears, what those buyers and sellers are communicating to you and I at just past 11 o'clock in the morning. I do want you to know I'm absolutely grateful for your presence here. But more important than that, that's this. During this next 53 minutes, I am here to serve you. So feel free to pick up that phone. We'd love to hear from you. 877-927-664. It's the number you call in on. Now, if you've got a question but you can't call in, we've got your back. Go ahead and send me an email. Send it off early. Send that to Steve at TFNN.com. Inside that subject heading, please put radio show question. Of course, if you're inside our Tigris, then will that any in every ping will do. So let's go ahead and get this show started on terrific Thursday. Of course, this is Tiger, Financial News Network. I'm Steve Rhodes. Welcome to the show. A mixed bag is what we're starting with. You've got the Dow up just slightly, 11 points, S&P 14, Nasdaq 162, Russell's off 8, some eyes are down 28, Tran is off 125, Gold's up 5, Silver's off 2 pennies. Let's recruit us up 27 cents. Natural gas is down 2 pennies. You've got a mixed bag out there in the 30-year treasury of 2 points and 6 ticks, trading out at 124.17. Now, our leaders in the clubhouse out there roaring its engine. It's Ferrari. RACE is a Tigris of up 34 bucks, 9, nearly 10 percent. Super micro power in that Ferrari up 27 bucks, 5 percent. Parker Hannafin up 20 bucks, 4 percent. Sympress up $18, 25 percent. Lancaster Colony up about 9 percent. That's a $17 move. We've got some movers, but we've also got some shakers. Those shakers, Markle Group down 10 percent, 149 bucks. That's a stinger. You've got Old Dominion off 11 bucks. Illinois Tool down 11 bucks. Meritage Homes down 10. MSCI off about 10 bucks. CH Robinson down 10 bucks as well. So we've got plenty to look at. Of course, I want to look at what you want to look at. So let's begin by taking a look at the equity future contracts. What do we have out here? All of them have tops. That's for sure. You've got a Rosemont Dominicator top that formed yesterday with that bearish reversal candle. We've got a three-wheeler evening star candle formation. Price is below, closed below yesterday at the bottom of its daily profile. 48.84 is the key level to be watching. You know, you can't just have one break below support to confirm a change in trend. But you get two. Well, then we've got it. So watch that 48.84. What happens if price closes above it? Well, if it closes back inside that profile, it could be signaling that yesterday's move was a false breakdown. It's just the way the cards roll out here. Now, if we take a look at the NQ, formed a Rosemont Dominicator top several days ago. That was last week. Yesterday, price reconfirmed that top with a bearish reversal candle. And closed below the bottom of its daily profile. Again, a closed below 17.352 will give you a profile change in trend signal. Now, if that happens, in the case of the ESMini, 47.02, I believe is the target. It's a target to the downside. And another target inside the NQ to the downside would be 16.334. The Dow Equity Future Contract also forming a Rosemont Dominicator top yesterday. That suggests now, in the case of the Dow, way different chart patterns than the ES and the NQ. And this is where this mixed bag may continue to come in. And the Dow's charts are really still telling you and I that the global fall of capital is still alive and well here in the Dow. Global flow of capital, what they want is large cap stocks. That's why they really focus on the Dow. So back to yesterday's signal. We got a Rosemont Dominicator top. Price is below the oscillator and change. You don't see that here, but I can see that on another screen. And the price is above the top of its daily profile. So the overall signal in the Dow is neutral. If you're going to be short, don't be short the Dow. And today's activity is really expressing that to us. And anyway, so I'll just leave it at that. In the case of the Russell 2000, that formed a Rosemont Dominicator top weeks ago. Price closed below the bottom of its daily profile yesterday. It's trading below yesterday's low right now. That's pretty bearish. And that suggests moving back towards the 1904-80 level. If we get a close below that, that will trigger an A to B equals CD to the downside pattern. So that's what's going on. We take a look at the daily timeframe charts for the equity future contracts. Now, let's go from here and go over to the intraday charts and see what kind of signals we can get up, so that we can give you the play-by-play out there. We've got a number of traders inside the den that are intraday traders out there. And so these charts can assist them with what is taking place. So let's begin with, firstly, there's two bottoms that are clear on our screens, really a couple bottoms that are clear on our screen right now. But let's focus on the 240-minute chart first. So on the 240-minute chart, what we can see out here is yesterday this confirmed a TD9 account bottom. That TD9 account confirmation came at 10 p.m. last evening out there. And then we saw price get back inside its profile. So it was new profile formed out here at 6 this morning. Price is still inside there. This is a below-structured profile. So the first level to be watching. So what price has done, well, as we were coming out of the air, price has pulled back and has tested that support level. That's a real key support level, real key because it has bullish and structured. So price closed below that on a four-hour basis. By the way, this candle doesn't complete till 2 p.m. I know that's a little bit large with regard to waiting for the real intraday traders out there. But what you do want to know is also the patterns that are going on up above the intraday charts that you trade. And so what's really key here is watching 17274. If price closed below that, that would suggest that we're headed lower. But because we have this TD9 account bottom, the second and even more important level to be watching is that overnight low. And that overnight low came in at 1722150. So that is a very key number to write down on your pad of paper. I was able to just log in just before Basil was closing out his show. He said, hey, if we close below yesterday's lows, that's a bad scene out there. What I would add to it, if you take a look at the futures market, it's not really yesterday's lows. We came to the close. It's going to be the low that came in by 10 o'clock last night. And again, that's down at the 1722150. If you close below that, we are headed lower out there. That's the NQ for its four-hour timeframe chart. If we take a look at anything else that's out here, let's go to now the 15-minute chart. The 15-minute timeframe chart, let me open this up here so we're all looking the same thing. This formed a TD9 account bottom. I did it earlier this morning at about three o'clock. It was actually at, well, it confirmed it by 2.30 this morning. Led to a nice rally. Looks like maybe we're going to head up towards that 172426 level, but that's not the case. Now what Price is doing right now is testing that TD9 account bottom. What there is here also is there is TD9 account breakout support at 17248. So for an interday trader, that would be the level that you would want to see Price close below to suggest lower price, even knowing that you've got support at, again, that overnight low last night, that 17221 area. But what we should know is Price is pulling back and is testing a prior bottom. That wasn't just a bottom from a swing point standpoint. It was a TD9 account bottom. So you could also get a rally out of here. Steve Rhodes with TFM. We come back from this break. Let's do this. Let's shift. We have about four or five, six questions that have come in. Let's get to those that don't want to fall too far behind on those. Of course, we'd love more requests out there. And then we can always come back to the equity future conference. Steve Rhodes with TFM. We'll be right back. If you're looking for potential trading setups in the stock market, then Rocket Equities and Options Report is a newsletter you should try. Tommy O'Brien delivers options and equity trades when the markets present them using a combination of fundamentals and technicals. Sign up for Rocket Equities and Options Report today with a 30-day money-back guarantee so you have nothing to risk. For all the details and to start your subscription today, visit the front page of TFNN.com. TFNN Educating Investors. You might think that if you want to be successful at trading in the stock market, you're going to need a crystal ball. After all, it's impossible to predict the future, right? Like any endeavor in life, before you decide it's impossible, get some advice from the experts. You might find that it's not so impossible after all. For daily market overviews that give you direction on the key indices, selective stocks and commodities, subscribe to the opening call newsletter at TFNN.com. The opening call newsletter is written by Basil Chapman, creator of the trading methodology known as the Chapman Wave. The Chapman Wave up-down sequence gives you an edge in identifying price turns, finding the peaks and valleys in stock prices. And get the opening call newsletter by Basil Chapman and your inbox every day. First-time subscribers also get a 30-day money-back guarantee. If you're not satisfied, let us know and you'll get a full refund within 30 days of signing up. TFNN.com Educating Investors. 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Just visit the front page of TFNN.com. All now, toll-free at 1-877-927-6648 internationally at 727-873-7618. Looking back on folks, so let's go try to answer that question for LB. He's looking for an entry point inside of natural gas, as many of us are. Now, this is a seasonal chart. I was able to get the folks over at Season X to go ahead and correct the natural gas charts out there. So now we've got 33 years' worth of data out here, and that's what we're looking at. 33 years' worth of data. Now what we can see here, LB, is that, first of all, November, December are just horrible months with regard to how on average natural gas trades in January and February are just slightly better, but they're still horrible months. What this shows is seasonally speaking, over the course of the last 33 years, natural gas would find its bottom right around the middle of February. We just entered February, so we should be on the lookout for a bottom. It's either the middle of February to about the end of February. So sometime in that time period, by the way, that red vertical line, that is where we are at today, and this shows that we're still in a cycle now where we are likely to see some lower lows out there. So that's the first thing. And then what we have out here, you can see, we then have a two-month seasonal cycle, it's the best seasonal cycle for natural gas, and that would take us up into a top right around the middle of June out there. So we're looking at middle of February to middle of June as being the favorable seasonal cycle for natural gas. Now that we have that out of the way, let's take a look at the daily timeframe chart. I'll just open it up. It's just an absolute mess out there. With that, I could draw in an A to B equals CD pattern, but I'd be starting all the way up here at $3.60, at least all the way down to $2. We might take natural gas down to about zero, so we're not going to do that. And at this stage here, all that the daily chart is really helpful, at least to me, LB, is just understanding where we're trading relationship to profiles as well as the oscillator and change line. We're below both of those right now. That suggests lower price. We don't have any kind of a bottom signal out here on the daily timeframe. So that says it's going to take some time. So that would actually fit into this equation here that maybe we get a daily bottom sometime in the middle of February out there. However, whether we get that or not on the daily timeframe, that's not where Stevie is focused. And the reason is because when I take a look at this, and we're looking at about a two-month rally, perhaps a two-month rally, no more than that, a four-month rally, February into June out here. Instead, what I'm looking for is an intermediate-term timeframe signal. And that's the beauty of this weekly chart, and that's also the beauty of the Roadschmidt Dominicator signal. What we need now, LB, we're not going to be trying to catch the bottom tick, or at least I am not going to be trying to catch the bottom tick. Not that I wouldn't like to do that. It's just not worth it. Here, what we need to see is a bullish reversal candle to confirm a bottom, much like we had yesterday, confirmations of tops really all over the place with regard to bearish reversal candles with a Roadschmidt Dominicator bottom. Now, this pattern, when it forms, it can really act like a slingshot, so to speak. And in fact, there was a question that came in yesterday after the show from a Gino, and he was asking me about the RMI patterns, how well does it identify bottoms? That was a specific question, so I've got some charts. We'll go take a look at that and answer that question. But here on the week, and from there, you'll be able to kind of get a feel for that slingshot type move that this pattern oftentimes creates out there. So if we get a bullish reversal candle inside a natural gas for its weekly timeframe, then we may be off to the races. The monthly timeframe chart is basically horrible out here. Prices below all kinds of support levels. There's no bottom signal. There's not even an A to B equal CD pattern that I could legitimately write in down here. So it'd have to be taken to get an expansion of swing points. If I take an expansion of the swing points from about two bucks up to $6, that's going to get us down to zero as well. So there's really not a great technical tool that I have to try to identify where isn't the natural gas is headed to. The last piece of this, I'll try to put natural gas into one of my horizontal trading range spreadsheet, not spreadsheets, but charts out there. I'm not going to do that now. It takes a little bit too much time to get all of that set up. So we can take a look at that. But I really believe that LB, what you're waiting for here is waiting for a bullish reversal candle. Let's get a good intermediate term signal out there. And then let's all fire away and have a natural gas party out there. So hope that helps you out with regard to natural gas. Thanks for waiting an extra day to get that answered. Also, Marvin wrote in yesterday, and Marvin wants to take a look at Aspen. ASPN is the ticker symbol. And Marvin, thank you as well for waiting an extra day out here. And what Marvin's looking for is, he wants to start a long position. So the beauty about this chart here, what we know, is that yesterday, price closed below its breakout level. It broke out from $11.45. That was based upon the TD9 count pattern. Price closed below that level. That was a key area of support. Today is going to become bar number seven of a TD9 count. What this suggests, Marvin, is that between tomorrow and Tuesday of next week, so let's come back to it. Let's make that a date on Monday, but you've got to remind me, I won't remember. And let's come back and take a look at how Aspen is trading then. Because maybe this will form a TD9 count bottom out here. And what I don't know is whether or not this retracement, I mean, that's between the low from January the 19th, all the way up to the high on January 23rd. It does look like a .382 retracement. If it were or close to it, then we could say, well, then there might be an A to B and we'll see any pattern in the downside. But right now, let's go with the fact that this is likely, well, I don't know if it's likely or not. We won't really want to know until tomorrow and or Monday, but this may go on to form a TD9 count bottom. And if it can do that, as prices pulling back to the 1050, let's say the 964 to 1050 level, then on the weekly time frame chart, by the way, you've got a TD9 count top on the weekly chart out there, if it can pull back into that area, that's the buy zone. So if we can get a nice bottom on the daily time frame with price into the buy zone on the weekly time frame, with price still above 999, that's a monthly oscillator and change line, then I think you've got the signals to at least fire away. So be patient. Watch how this chart pattern unfolds the next couple days. Let's come back and take a look at it on Monday, if you will. I mentioned that Gino wrote in and he was asking about that roadsman to indicator bottom pattern. But you know what you should really do is you should subscribe to Mastering Probability and I'll teach you exactly how this pattern works so that you can identify and you can create it on your own system. But in the meantime, since we're taking a look at the S&P 500 out here, or at least these charts will look at the S&P 500, let me just open up the weekly time frame chart. I mentioned intermediate term time frame. We were looking at the natural gas contract here. So let's take a look at its roadsman to indicator bottom signals. So by the way, this pattern, just like most other patterns, in fact, every other pattern that I've ever found, does a better job identifying bottoms than it does identifying tops. It is a good one for identifying tops, but the bottom signal is even better and really that's what you'd asked about Gino. So here if we take a look at the pattern, I'm not going to go through the details of that pattern and how it's calculated. You get that as a Mastering Probability subscriber out there, but here we can see you had a nice roadsman to indicator bottom on a weekly basis. That was October the 14th, and that's been a nice little slingshot to the upside. Now, you might say, why is that slingshot to the upside out there? I'd at least ask that question. The only thing that I can come back with, because I do like spending time in the pool out here, is if you've got one of those pool balls, you know, and you put at the bottom of your feet and you try pushing it down, at some point in time you're going to lose your balance. And what's going to happen? That ball's going to just spring up and get the Sam Heck out of that pool water out here. It's a similar concept really. So visually that's how I take a look at this, is creating that slingshot to the upside. But that's that's only one example at a bottom on a weekly base. Let's pull this chart back further. They don't happen that often on the weekly time frame. Here's another one. This one forms nice Bullsion Golfing Candle back on October 7th in 2011. How good of a bottom was that call out there? But we come back here. This is we get nice Bullsion Golfing Candle the week of March 13th. That's in 2009. That called and identified the bottom out there. Let's come take a look in 2000. This is 2002. I think so. Yeah. So back in October of 2002. Nice Bullsion Golfing confirming that roads meant to mitigate a signal. Just because you see lines drawn does not mean that that is a confirmed pattern. That just tells us about a pattern that is in place. Steve Rhodes with TFN will be right back. Gold Report. As a precious metal, gold is still king. It continues to hold the most effective safe haven and hedging properties across the global major trading hubs of the London OTC market, the US futures market and the Shanghai Gold Exchange. The Gold Report. Tom O'Brien publishes his weekly Gold Report every Monday morning for subscribers consisting of coverage of the XAU, HUI, GDX, The Dollar, Bonds, the South African Rand as well as 25 different mining equities with specific buy sell recommendations. The Gold Report. New subscribers get a 30 day money back guarantee so you have nothing to risk. 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In the Tiger's Den, you can look over the shoulders of Tom O'Brien and the other TFNN hosts while they analyze charts during their live Tiger TV programs and join an interactive trading community with hundreds of members exchanging ideas interact with other Tigers and Tigresses as they share trading ideas, news analysis, and discuss the market action all trading day, even at night and on the weekends. The Tiger's Den at Discord is accessible on mobile or tablets as well so it's always at your reach. To sign up today and become a part of this educational community of traders, just visit the front page of TFNN.com That's TFNN.com Then hit watch Tiger TV. Earlier on, I think he said ES, the low point would be $47.02. Let me make sure, let me give you that number. I think that correlates. $48.00 is not, for the ES would be $48.66 is the number that you're looking for $48.66, even Stephen. If you get a close below that that's going to really suggest that we had to lower price and where that comes from is that's coming from the ES many. We were looking at the 4-hour chart for it. We were looking at the NQ's 4-hour chart. That's got a nice TD9 count bottom. And if we close below there, that would suggest that what price would do is target the $47.60, $3.50 level. That's where price on the 4-hour time frame actually broke out from. On the 4-hour time frame chart which is what we're looking at right now we can see that price is rallied right up into resistance. This is a new profile that formed at 6 this morning. And Steve, when this profile was formed that tells us about overhead supply and that is a typically, that is a bearish message. And what price was able to do both at the 10 o'clock time frame, the 4-hour chart and the time frame that we're in right now, this bar will complete at 2 p.m. Prices run up into that resistance level. That's $48.94 we'll call it $48.95. So that's a number to the upside that I'd like you to watch. You've got a number to the downside to watch. You also have a number to the upside. The price is able to close above that. We should see into the $49.08 or $49.16 level. And that's where I would then suggest that you could take a look at getting into an SPXU or whatever product that you want to use out there. That's the ultra short S&P 500 Yes. If the numbers you just stated come to fruition, obviously this goes down the SPXU and by proposal. The other area to be watching I gave you a number to the upside because that was also based on the 4-hour time frame chart. The other number to be paying attention to today is the bottom of that daily profile and that is at $48.84. So if price closes above $48.84 today on the ES mini what that would then do is it would get price back inside its daily profile and so then that creates more of a muddy situation for us because it could say or it would say that yesterday's closed below profile support was a false breakdown. But let's just take one thing at a time we can come back to that. I would say it would be a false breakdown if in fact the spot biotinics also closed below its 50-day exponential moving average. So that is one thing that you also have going for you or anybody who's looking at the S&P 500 whether watering whether they should be long or short. I'm not really referring to intermediate term traders or so Danish type traders, swing type traders and so if we just take a look at this chart too, this is the spot biotinics and you can see right now the 50-day exponential moving average is $13.64. If price were to close below $13.64 the ES mini is certainly going to get back inside its profile and then it would have to almost call any shorts off so to speak. So the ideal situation is price rallies up towards that $49.08, $49.16 level. The spot biotinics still above the 50-day exponential moving average at $13.64 and then I'd say go ahead and fire away. At least that gives you the best reward risk type opportunity in my opinion. Does that make, does that make okay, you're welcome what's your dog's name now that we heard the bark? That's Louie. Louie. Oh, that's great. We'll tell, we'll give Louie a treat for us, would you? He's eating one right now. Oh, perfect, perfect. All right, Steve thanks for the call, much appreciated. Thank you. You bet. Let's go to our next question folks. This one comes in from Nicholas and Nicholas wants to take a look at Amazon. So let me try to find where I stuck that Amazon chart could be here. It is great. Nicholas's question specifically is will price close above yesterday's high? So a good question he saw that this morning in early trading that price was traded above and the real question was will it hold that level? So when we take a look at the daily time frame charts for Amazon here is what we know. We know that its oscillator and change line is a resistance point Nicholas and that is currently printed 158.46. That is just slightly below yesterday's high out there. Only a close above that 158.46 would then suggest not only will price go take on yesterday's high but in the case of Amazon it will get back to the high from a couple of days ago. It's all-time high out there. Now the all-time high has volume in that swing point of 45 million shares. Amazon today has traded 20 million shares in the first two hours of trading. That sets up approximately a 60 million share a day 60 million shares. So prices moving higher with volume inside of Amazon. Is it moving higher or lower? Well because we haven't taken out yesterday's low I have to say it's moving higher with volume but nonetheless Nicholas you still have that resistance point of 158.45 that's what price has to take out in order to suggest that it wants to continue to move higher. Now if we look at the weekly chart for Amazon this is where an intermediate term trader was holding Amazon shares saw that move to the downside maybe wanted to get spooked out I'd say why would you get spooked out if all price did was just simply pull back and test that green oscillator and change line again a green oscillator and change line tells us one thing well maybe a couple things one it tells us that the price oscillator is above zero what's a price oscillator that's a difference between the 39 to 19 period exponents moving average you can calculate that but it also tells us that we have a rising price oscillator above zero and for that you need to subscribe to Master of Probability I'll show you exactly how the oscillator and change line is calculated and actually calculate that yourself and so when we have a rising price oscillator above zero those are bullish conditions. Price is also in the weekly time frame chart above the top of its weekly profile 149.26 out there and we take a look at the monthly chart monthly chart still has its TD9 count top it would have been negated yesterday had Amazon closed above the high from December which was at 155.63 it didn't but it's trading above it right now but this is early in the month out there so when I take a look at these charts out here with regard to Amazon to answer your specific question will price get up there it has a chance why's it got a chance why didn't you just say that right up front Stevo I don't because I didn't see it actually what do we have here when we look at that 30-minute time frame chart we've got that we've got that slingshot pattern out there that's that roadsman to indicator bottom now it's a 30-minute time frame chart and they also don't change that is wrong let me just simply do this here let me put the proper template up which is the 30-minute time frame should say all 30 somewhere there we go now we've got the correct so what we've got out here in a 30-minute time frame Nicholas is price is right now trading with inside its profile you'd like to see two consecutive closes above 157.40 that actually could set up an A to B equal CD to the upside out there likewise if you see close if you see price get below this morning's low out there this thing's headed lower not that you need me to tell you that but it would negate the bottom patterns out there the 30-minute pattern that is so if that helps out Nicholas thanks so much for writing in we get back to this break let's look at the KRE the XLF and PLNT I think that's what we're looking at Steve Rhodes with TFN we'll be right back currencies commodities and bond markets are as important as ever right now with how they're trading the volatility in equity markets across the globe which is why it's a great time to try out Teddy Keg stat's Tiger 4x report Teddy Keg stat breaks down the 4x markets every Monday using his 30 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prospectus contain this and other information about direction shares to obtain a funds prospectus and summary prospectus call 866-476-7523 or visit directioninvestments.com a funds prospectus and summary prospectus should be read carefully before investing an investment in the funds is subject to risk including the possible loss of principal the funds are designed to be utilized only by sophisticated investors such as traders and active investors distributed for side fund services LLC this program is brought to you by Vista Gold traded on the NYSE American and TSX under the symbol VGZ thanks Mr. Bill for letting me know that that wasn't showing the charts for Amazon I'll put them up on my chart here real quickly on the screen you can see this need to be equal city to upside inside of Amazon takes up towards 175 level out there but with regard to today's activity yesterday's activity we can see this is below that greenhouse under the change line it's above its profile levels so there's no bearish signal out here there's no topping pattern that we have in place and we took a look at that 30 minute chart or I was looking at that here that's got that nice roads meant to indicator pattern out there so it's possible that that low that came in at 1130 is just setting up a small a to b equal city to the upside that's as long as price stays above that 156-81 area and then we take a look at that weekly time frame chart you can see how price pulled back tested and rejected that green oscillator and change line so it's still a bullish and here's the TD9 count on the monthly time frame chart and yesterday's closed still keeps that pattern in play out there so sorry that I didn't have those charts up on the screen occasionally I do that and not intentional that's for sure so let's come back and take a look at the KRE and this is for ELO inside the Tiger's Den and we take a look at the KRE it's getting crouched out there in fact it's confirming an a to b equal city to the downside that's wing point today's swing point already done volume of 33 million shares the B point of this would be the swing point here from January the 17th the volume on that was 14 million shares they got nice a to b equal city to the downside as far as price projection levels out there let me see if I can give you one of those out here give me a second I'm just doing this off the screen I'm not going to turn off the screens because I'll probably screw that up again I don't want to do that so the one to one it's already hit that's what it hit today that's at 4715 the next price projection level would be 4550 the one to 1.272 so what you're looking for here is some type of bullish reversal candle that's not going to happen today we're not likely to happen today but if you did get one of those you would have a Gartley by pattern out there another price level to be watching really like a hawk is at 44 46 that's where price had broken out from and that may be where prices headed back to the weekly time frame chart shows that price is now trading below the bottom of its bullish structured weekly profile that's the first time below that that would give us a signal of a move to 3883 so we've got 44 46 we've got 4550 we've also got 3883 right now in the monthly time frame chart in order for this to get bearish yellow price has to close below the top of that profile so far that has held their support at being 4684 so with regard to the KRE it looks to me like it still wants to have lower I'd be watching over the coming days see if you get some type of bullish reversal candle if you do that would at least be some kind of intermediate or some type of short-term bottom and that would take you up towards support or resistance I should say and resistance right now would be in the 50 72 area out there let's go to our next caller it is John in Philly John thanks for calling thanks for holding how are you today he's doing very well I I apologize for calling two days in a row why I love your voice we're going to try FECTA I would like you to address for me and more importantly perhaps your listeners just on comics gold futures and what this action what this rally today means from your perspective just parenthetically last week I was working with people in the den and I made the speculation at that time that the gold price would likely be restrained from rising in through the options expiration that occurred last Thursday at 1 30 in the afternoon I further speculated once that had passed I saw the I saw cause for a good rally to occur well we're getting something right now I'm not sure today in the past four hours why buyers have taken charge to the extent that they have so I've got nothing to add to that but it is moving in the direction I speculate would and will occur having said all that therefore could you just address what you see what this rally means as far as your concerned and John as always thanks for the question and please call in as often as you'd like we'd love that you bet you bet take care so I'm going to start off with the weekly chart I'll just share with each of you we'll go take a look at the daily time frame chart what I'll share with you is that right now price is trading above resistance I do not know whether close above resistance at day's end resistance being the top of its daily profile so the number to have on your pad of paper folks is 20 7690 a price close above that today that gives us a bullish profile change in trend signal of course we need to consecutive signals to confirm that beginning one you know is better than getting none out there so get watch 20 7690 now let's assume we close above 20 7690 because I think maybe this is a question that John was asking is where is price likely to run into resistance well the cool thing is that the weekly time frame chart really shows that very clearly and that's that there's significant resistance at 21 13 40 that is a TD 9 count breakdown level that price was was a test and rejected with a gigantic wide ranging bar on December the 1st you see how price traded right up into that or nearly we'd say hey prices don't usually end or moves don't end on wide ranging bars and to a certain extent we were right about that because the very next trading session we had price make its way up to that high in the well 21 71 level but by the end of the week price pulled all the way back towards that green oscillator change line never was able to close above that 21 13 40 level so John I would say odds favor a close above the top of the daily profile at 20 7690 just suggest that gold will go test another tested area of resistance and that would be at the 21 13 40 level now why has the why has gold rallied a bit out there I would come back and say most likely because the US dollar index has moved lower out here so if we change our screens we'll go take a quick peak at the US dollar index I'm going to hopefully remember to change back to the other screens out there but here if we take a look at the US dollar index what we can see and it's going to simply expand it out we can see that it's well off of its highs its highs came in at the 25 level and now we're trading out at 103 even Steven it's pulled back quite a bit so you've seen gold rally we've seen the US dollar index pulled back we know about the directional correlation exists between those two I would argue that it's not really an argument I would just put forth that that is a likely idea now let's go change back to my white background screens and just simply go take a look at the currency pairs out there so if you give me a moment we'll get back to those screens we're going to switch panels here and we'll take a look at the Euro the yen and the pound those are the three currencies that make up 70 some odd percent of the US dollar index out here so we take a look at the year I just have to get to current date out there it actually represents 83.1 percent so we take a look at the Euro John you'll appreciate this courtesy of Basil Chapman but mostly Sarah Toga Bob who used to be inside the den you'll see that we are now in wave number 7 it hasn't been confirmed yet but we have achieved that wave number 7 that requires a higher low to confirm so if we get a higher low in the Euro tomorrow we'll effectually have a bottom yes there's an A to B equal C to the downside gives us a price projection of 1.0737 but wave number 7 is also a bottom pattern that would then suggest and you can see how that oscillator and chains on in the daily base has been real resistance just to rally up to that 1.087 price doesn't take that out guess what's going to happen to the Euro it's going to head lower what will happen to the dollar it will head higher out there and we really likely won't have an overall break up so I hope that answered your question and please call in tomorrow we want to try effective C roads with TFN we'll be right back you might think that if you want to be successful at 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completion of that pattern yesterday it was also a rogment of indicator Tom now here price is above the top of that daily profile 3789 so even though it's got a top its overall signal is neutral it has lost its momentum with price being underneath that green oscillator and change line downside price target at least the first one would be bullish monthly chart looks bullish as well next question comes in from dude inside the Tigris Den wants to take a look at PLNT as we take a look at PLNT today is going to be bar number 9 of a TD9 count pattern out there that says today or tomorrow could or should be a bottom you should see PLNT rally up toward 7145 that is the bottom of its daily profile we take a look at an intraday chart or couple intraday charts look for a bottom I don't see one on the 15 minute on the 30 minute I see a rogment of indicator bottom that form right here at 11 30 this morning so now what you're looking for to confirm that the daily in fact bottom is likely in on that TD9 count you would like to see it close above 6883 but you do have the signals that PLNT has formed a bottom hope that that helps you out dude next question coming in from Hector and Patty they want to specifically asking about the GDX in the weekly timeframe we're going to switch over to the black background screen so we can answer that Hector and Patty so you're talking about A to B equal CD patterns first we take a look at the large one out here the large one starts at August 3rd of 2020 that's your A point your B point is down here September 27th, 2021 you get a 75% retracement up into that high on April the 18th the 1 to 1 and made more than a 1 to 1 this confirmed a buy the D point pattern the week of September that began September 26 a nice reversal candle that in fact led to a rally now there's a smaller weekly A to B equal CD pattern that was confirmed you're asking about the 3 River Morning Star pattern we'll put that in right now there's your A point your B point and your C point and this is the 3 River Morning Star the candle sessions from the week of September 25th all the way through October 9th today's candle or this week's least session out here that would not be a 3 River Morning Star but you've got 2 confirmed A to B equal CD patterns right now GDX is consolidating with inside that weekly profile 2784 the 3236 everybody have a fantastic Thursday and I'll see you on fabulous Friday take care be safe out there