 The following is a presentation of TFNN, The Trader's Edge with Steve Rhodes, toll free at 1-877-927-6648, or internationally at 727-445-1044. The Trader's Edge. Now, Steve Rhodes. Welcome to TFNN. Welcome to the May 9th, the terrific Thursday. Maybe it's going to be turnaround Thursday edition of today's Trader's Edge show. I'm your host, Steve Perseverance, Rhodes, who absolutely loves being with you. And the key here kind of got off track here. Sorry, it was multitasking there. But the key to life, it's just not being a prisoner of your past. It's about being a pioneer of your future. Hey, I'm absolutely grateful for your presence here. But more importantly, I'm here to serve you today. So feel free to pick up that phone and dial on in at 877-927-6648. If you can't call in, just simply send me an email. Steve at TFNN.com inside the subject heading. Excuse me, just put radio show question, of course, in our Tiger's Den. Any 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 less show right now. The Dow off 163 points. That's down 6 tenths of a percent. Trading out at 25.802. S&Ps off about 12 points. They're about 4 tenths of a percent to the downside. NASDAQ off a half a percent. That's 40 points. She's trading at 75.76. So it's mean and red across the board, with the exception of spot volatility. 17 pennies. 1957. Well off of its highs. Gold is up 350. Silver is down 8 pennies. Leading the charts. The upside, you've got Roku up 17 bucks for 26 percent. Bio Rad Labs up $17 as well. That's a little over 5 percent. Copa Cabana Holdings. That's up 15 percent. Mercado Libre up 2 percent. That's nearly $12. So the downside stamps.com getting cut in half. I mean half. I mean 53 percent. 11 million shares behind that move. That's trading out at 38.50. The trade desk down nearly 11 percent or 24 bucks. Booking Holdings off 10. I'm sorry, 20. That's a little over 1 percent. Amazon off 17. Look, let's start the day here by just simply responding to a question that came in earlier. This coming in about 11 o'clock from Craig. Craig E. And Craig is just simply taking a look at a put. Either a spread. Okay, but he wants us to go ahead and take a look at Caterpillar. So let's take a look at the cat out here and let's do it like we always do. Let's start off with our three different time frames, meaning daily, weekly, and monthly. And let's just understand what Caterpillar is doing from a market profile perspective. It's below the daily bottom of its box, 138.83. We could see it's made its way back, just on this screen here, back to a prior bottom, back to a prior swing point. It's held thus far. Don't know if today's hammer session, if today's candle session will be a hammer, it's certainly going to at least be a gap. Well, I can't say that. I don't know how it's going to end. Presently, we have both a hammer candle and a gap to the downside. So you've got a bearish and a bullish signal out here. We'll go take a look at that, try to figure that one out. Inside the weekly timeframe out here, price is just sitting right at its point of control. On a weekly basis, the level where both buyers and sellers believe there is fair value for this stock. On a monthly timeframe, it's a bearish structured profile. This says over time, this could easily pull back to 111 to 113. But you are looking for something through expiration next week on Friday. So let's take a look at our other charts out here. My Ninja trader charts that have several other tools. So Craig, here in looking at this trade, there's a couple of things we know. As I'd mentioned, we could see the gap to the downside today. But we can also see that this is a hammer candle. It's always hard to determine is this a bullish or bearish message out here. So what I look for is I look for the pattern. I also look to see where is supported on the left-hand side of the chart. What we can see here is there was a nice little piercing bullish reversal signal piercing candle back here on March 25th that tells us that in this area you have previously had buyers identifying this level as I say, level of support. We also had a TD set up nine count that called the high right to the T on February 25th. That set up this support trend line. If I move it all the way further to the right out here, which is certainly applicable, we can see that price is also pulled back to support. Journey in the hammer candle. What's the pattern out here? Well, as we speak right now, you have an A to B equal CD to the downside. And here's how I would call this. If in fact at the end of the day, this is a hammer candle or it's some other type of bullish reversal candle, then this is telling you that it's going to move higher. That it has found a bottom. It found a bottom previously at this level. That's if it's a hammer candle. We also know that Stevie's green line turned red two bars ago. What typically happens? What's the phenomena associated with Stevie's line turning colors? Exactly. It says that price and that line are going to catch up to each other. Well, if this ends up being a bullish reversal candle, it would suggest a price move up towards that 136.68 level. The reason I say towards is because that line is going to move lower, most likely, while prices move in higher. So just simply if you have the line on the tool, it becomes easy. But if you're asking me and you're in the money already here on a put trade, you don't have really much of a description here, that's fine. All you need to know is if you see some type of bullish reversal candle today, it is signaling to you that the caterpillar has formed a bottom. That's always going to be, the patterns are going to be a leading indicator to profiles out here. But it's not that profiles aren't valuable. From a weekly timeframe, if you had more time, I don't really see anything that interesting out here other than prices back to support. So this could support a bottom, a pullback bottom out here. But if I look at the monthly, there's nothing exciting here. So in other words, on a monthly basis, let's put this chart over on our screen longterm, not until price closes above Stevie's red or green line. In this case here, it would be green line at 14376. Would I really be interested in caterpillar from a longer term trade standpoint? All you have to do is look at my green and red line. If you just simply use that one tool, which you wouldn't, you'd use the nine setup out here. Why? On a monthly basis, it identified the high back here in July of, when is that? July of 2014? Yeah, July of 2014. And then I called the high out here from a caterpillar standpoint in January of 2018. So you wouldn't ignore those patterns. No, we did. And this is going to always be in both, not always, but it's certainly more bullish when prices trading above Stevie's red or green line. Those are not the conditions. Nonetheless, be careful. Did I really close that out? I hope not. But if I did, oh, there we go. We're back in place. So I hope that helps you out with regard to that trade, that trade being caterpillar. And that was Craig from St. Petersburg, Russia. I think it was St. Petersburg, Florida. All right. So now let's go back to the markets while we have them begun. But let's go back to the markets. Let's take a look around, see what we can figure out here. So right now as of 1.14 in the afternoon, Dow's off 157 points. What is it doing? Well, let's also go take a look at its daily timeframe chart out here. Let's pull over the Dow equity futures contract. You knew I was going to do that. We don't have a hammer candle yet. I don't know at the end of the day session, we're well off the highs. Hasn't created a hammer candle. We have made the one to at least 1.6. When it almost one to two, A to B equals CD to the downside out here, we can see the price on a daily basis trading back into the hammer candle that formed back in March. Could be bottom is what the daily timeframe charts watch today. See if you get a bullish reversal candle. If you do, give a second thought to being short the indices. We'll be right back. The Taz profile scanner is the most revolutionary piece of trading software that you will ever try. Wouldn't you like to approach the markets with confidence? As you begin your trading day, it's likely that you'll be faced with lots of decisions in order to make the best decision. The first thing you'll need is a strategy that will help you minimize your risks. Whether we're in a bull or bear market, a good strategy is to have the tools needed to help you scan and analyze the markets before you trade. 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TFNN.com, educating investors. We're at 727-873-7618. 3 S&P 13, Russell 2000 off 6 points. And that leads us into this next question here coming from Alex. Alex writes, N.A. Steve, I got a fill on TNA 6120 sold at 6423 bucks that I sell too soon. He can never sell too soon when you take profits out there. But is the question, will the Russell 2000 head higher out here? Well, let's try to answer that question for Alex. Let's first, Alex, try to understand what the Russell 2000 equity futures contract is doing. Here's what we know as of 1.18 in the afternoon. Prices come down and tested and rejected the bottom of its daily profile. The bottom of its daily profile is 1560-90. If we get a close above that, well, there's nothing wrong with the Russell 2000. What else do we know? We know the Russell 2000 equity futures contract is trading in a sideways consolidation. Tried to break out. It tried that for two days. Said, I don't actually like the temperature up here. Now that it's below, so with inside the consolidation, it's possible that price is going to run down to the bottom of that consolidation or the 1497 area. So kind of be specific here, Steve. Well, first of all, it's a daily timeframe chart we are looking at. If price closed below 1560-90, the answer to your question would be, I would say, no, you didn't sell too early. I would say at that stage, price may take a spin, a ride on the reading down to 1497. If it holds 1560-90, well, maybe the answer to your question would be, yes. Let's continue looking on. We just wanted to take a look at what's going on in the daily timeframe just to give some perspective. But let's give it some additional perspective out here and take a look at the daily timeframe for the Russell 2000. Do we have any kind of reversal signal? Well, with inside the consolidation pattern, as you can see, what we have as we speak right now at 120 is a hammer candle. I do not know whether this will be a hammer candle at the end of the trading day or not. I don't have any other pattern out there. I prefer to use bullish and bearish reversal candles when there are patterns. Now, the only pattern that you and I can spot out here is that the last time that price was testing this swing point area, April 22, you had the Calvary or the bull show up on April 23rd, so this is a price area that appears to want to be defended out here. And if you see a hammer candle today, it just tells you about that strong defense. In the longer term, the Russell 2000 remains inside that consolidation pattern. Again, the daily timeframe not really providing you and I with a great signal there. So what is giving us a great signal? Well, I don't think it's a 30-minute chart. I don't think any of the 30-minute timeframe charts, oh, I take that back, slap me in the face, slap me till I'm silly. I take that back. If we take a look at the Russell 2000, the 30-minute timeframe chart, what we're going to see here is when it did bounce, its most recent bounce, back at four o'clock, a couple of days ago. Was it a couple days ago? This is the 30-minute chart. This was on the 7th. Yeah, so a couple days ago. And then you got that price move up until about 3.34. That is, in the morning out here, 4.30 in the morning, that's on May 8th. Yesterday, then price has moved down ever since. Well, if we start our wave count from that level, the high at 4.30 in the morning, yesterday, well, it turns out that wave number seven, Stevie Wonder, singing in the key of G, took place at 10.30 this morning. Now, in order for the Russell 2000 to give you on a 30-minute basis a change in trend, we're going to need to see a close-up of that TD-ST at resistance line. That is the trading session from 7.30 in the evening, May 8th, the high there is 15.79.80. So the only way to say that you would have sold it too soon would be a close above that level. That's what the 30-minute timeframe shows us at this stage of the game. How about an hourly timeframe? We're just doing this this way. We can kind of move through the process of understanding what the markets are communicating to you and I. I don't see any kind of bullish reversal signal here on a one-hour timeframe. And I see prices simply bouncing up to resistance at the top of the 60-minute profile. If we take a look at the two-hour timeframe chart, the two-hour timeframe chart, or 120-minute, perhaps providing us with the best of signals thus far, or adding to the 30-minute signal, what do we know about it? We know that as it has thus far bottomed, it did it with a TD set up nine count that was exactly at noon. Now, what price is trying to do is take on Stevie's red line. It's at about 25, 748 is what it looks like. But in order for this to suggest this is the... I got to the Dow. How did I do the Dow? We were looking at the Russell 2000, I thought. We were looking at the Russell 2000. I have to apologize for that. I somehow went over to the right. It slapped me again. Slapped me again. In any event, let me pull over the two-hour timeframe chart for the Russell. Do I see anything here? No, I don't other than an A to B equals CD, but I don't see anything here. Look, I don't want to be wishy-washy unless I have to be wishy-washy. I'm going to have to just go with... You know what? You made a great trade. You made some money out here. As much as I'd like to be able to tell you that there is a bottom that's in place, it's been a nice bounce so far. But I don't see the type of bottoming signals you would typically see, meaning you would see them in the short-term timeframe chart first, 30 minutes. We did with wave number G, but we didn't see that in the ESDNQ and the YEM. And it's too early to say that you sold that too soon out there. So that's the best that I can do for you in trying to answer your question out there. So maybe that's not going to help, but just let me just give you a virtual... We could do that, a virtual pat on the back for a nice trade. So then... All right, Steve, well, then what the heck are you... Well, why should I even listen to your show? If you tell me today, you can't tell me one way or the other. One thing I can share with you one way or the other would be the following things. Take a look at that oversold, as we speak, at 1.24 in the afternoon, reading inside the advanced decline oscillator. It's down below minus 1.50, we're at minus 1.50, 9.09, and end of day closing is really important. You go back, you take a look at the advanced decline oscillator, reading when it gets down below 1.50, you find out how often it forms bottoms out there. Remember, this is a game you and I... We're taking a look at a stock chart. We could really give a hoot or a rat's anything about what goes on on the screen and the media and this and that and tweets and tweets and, you know, all of that type of stuff. Instead, what you and I do is we rely on reading the message of the markets because when we look at any one chart, it's telling us what the emotion, the human emotion of the market is at this point in time for traders around the world that utilize the New York Stock Exchange, which is really a basket of all those stocks out there. So we're seeing what the summarized version of those stocks look like out here. And we look for turning signals. This tells you and I, bouncer bottom is going to form out here, doesn't tell us at what hour of the day and at one time. It's just when it gets down below minus 1.50, don't ignore it, please, or ignore it at your own peril. We take a look at the spot volatility index. Kevin S. had sent in an email earlier. I had responded back to him and he said, hey, good point on the fact that the spot volatility index is trading well above all of its futures contract. I went back, I looked at the charts, I could see the bottoms. Do you think it's going to happen this time too? And what do you think our answer is there? Absolutely. This, as you and I talked about yesterday, it's out of whack. It's way out of whack. Futures traders don't see the volatility that the folks have seen this week. Hope you're right now. I'm certain you are or strive to be one of the best of the best at everything you do in life. It's the most common trait that we tigers and tigers share. If you're looking to become the best of the best when it comes to managing your money, let me teach you to do what most wealth managers tell you can't be done, which is how to time the markets. 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This segment is brought to you by Think or Swim. For more information, just click the Think or Swim banner on the front page of TFNN.com. Welcome back first. Welcome back first. Welcome back folks. First thing I want to do is Jay writes in and said, but isn't that normal, Steve? The long term should be lagging indicator on the spot volatility index. In case you just tuned in now, what we're looking at here, what Jay's referring to, is we're taking a look at the short term, the 30-day Volatility Index out here. It's trading right now in 1949. And Jay, what you can see is that this is priced above all of the futures contracts, whether it's May, June, July. And even though what you say is a valid point out here, instead what I was trying to be able to share with you and everyone else out here is that another cool tool or use of the spot volatility index is when it gets out of whack like that. And when it gets out of whack like that, here is taking a look at the spot fix and looking at its six-month contract. We could go look at the six-month, the three-month, year out here. And what you will notice is that when that ratio gets above one, that's the green line on my chart out here, it puts in either great bounce or bottom areas. Eventually, it's a bottom area, but sometimes it turns out to be a bounce, just like we had during this little consolidation period inside of the S&P 500 back between October and really the early part of December in 2018. But if you go back and you have these tools, you will see, and I can't explain to you the reason why. I just know that it is. And then what I also know, though, is that in utilizing this, Jay, what we need to really see is some type of bottoming pattern inside the S&P specifically. And so if we look at the ES mini, for example, right now, in the case of the ES mini, I don't know what the end of the year is going to be, I don't know what the end of the days trading signal will be or bar that forms inside the ES mini. It may be a hammer candle if it is. Then you've got an A to B equal CD to the downside that suggests, okay, we've got a bottom out there. Now we'd want to see where price is trading in relationship to market profiles and so forth, but today's signal will be important for the ES mini. If we don't get a bullish reversal signal signaling that it has found a bottom, if anything, what it would be, and so what we just looked at there, Jay, was, okay, we know that this is out of whack, spot volatile to an accident. It's futures contract and it will get back in line out here. And that's where you can see these vicious, depending on what word you want to use, counter trend rallies, large counter trend rallies or bottoms. So what you want to do is put the patterns, which we don't have in place right now, inside the ES mini on a daily timeframe. No, I'd be willing to forgo the daily timeframe first if I could take a look at a shorter-term timeframe, like a 30-minute and see a valid pattern here. Now I could put in an A to B equal CD. There's been plenty of those to the downside out here. Instead I would just simply say, okay, I can do that, but Jay, if price can close above this solid green line, that price point is 28, 85, 50, then that's going to signal to us in the short-term that it generated a change in trend. Now it's a heck of a bounce off the bottom to give you that signal, but otherwise up until that point in time, I would classify everything as a counter-trend move at this stage. Now why is it that we could also see a bottom out here? Well, if we take a look at the daily timeframe, you can see prices flirting with Stevie's green line. Now remember we looked at Caterpillar, I think was Caterpillar or something where price was that it was that we saw the line turn colors. I don't remember if it was green or red, this one is red to green, and what's the phenomena that we know is going to take place at some point in time when that occurs? Price and that line are going to catch up to each other, and that's what we have going on right now, and this could be, could be a bullish test if at the end of the day tomorrow prices trading at or above this level, that would be a bullish test, considering we had an interday push lower. I don't know what tomorrow is going to look like, I just know that if you did get a close above this, well that's a bottoming signal. If you close right here, this little, the current eight count that is in place is going to go away or the nine count I should say, that'll go away, because this would be, it needs to close above the high of this third bar out here, which is right around the 2895 level. And if that's the case, then I don't have any topping signal, so to speak inside the ESMini, other than getting back to a previous side and selling off, but selling off to where? Selling off to support. And it's not just the ESMini that so far has been a test of support as of 135 in the afternoon on Tuesday. It's the same inside the NQ, we could see that so far, its line had turned from red to green. Eventually you're going to get that test, well we've gotten that test now and the rejection of that is bullish. That's my reading, you don't have to read it that way whoever you are. The Dow is a totally different animal out here, because the Dow is trading below Stevie's green line, right? It's trading below 26130, so I can't make heads or tails of the Dow, other than I know we're in a consolidation and shoot, price can pull all the way back down to the bottom of that consolidation, but that's not the call that we're making just yet and on the weekly time frame chart what we can see is there was just three weeks ago when the Russell 2000s, and we know the Russell 2000 hasn't made its way back anywhere near, it's all time high out here, but it's red line turned green just three weeks ago Jay and right now what you're getting is the bullish test of that. First is the anticipation when you see the line change colors, look the line change color in the Russell 2000 on a weekly basis, back here on November 16th, okay? Price did what on the week of December 7th, bounced right up to that level tested it, rejected it and of course probably that was the bearish case out here. What happens if price closed below that is Stevie's line is green but what happens is it's still the market on a weekly basis would still be considered bullish because it still has a price oscillator above zero but it would suggest a further decline out here, so three of the four as we speak at 1.30 in the afternoon from a weekly perspective have done what they were supposed to do, which at this stage is the bullish test of a market move higher out there. So if that's the case, you put that together with the way the spot volatility in its futures contracts are trading out there, we still need more signals and we had already take a look at the minus 150 level inside the New York Stock Exchange, so all I'm saying to everybody that's listening out there is just pay attention to these signals, they have meaning let's not get caught up into the news and let's just simply trade from, let's read the charts let's read from the charts, you will see me, I believe you will be me be me or see me be consistent with regard to what happens when the line turns from red to green or green to red out there and then you and I go look at it and what do you do when you get to a nine count out there and you're in day number eight and do you pay attention and most certainly when price is moving higher or less relative energy or lower with less relative energy and the importance of those bullish or bearish reversal candles and the reason why it's important to wait till the end of the day on the Russell 2000 or all the equity futures contracts see if they've got hammer candles, was there a pattern that had completed out there and all those things will go into assisting you and being able to make better market calls. So right now what do we have well we've got the NQ it's tested the bottom of its weekly profile that was 7517 well off of that, that was support it was a bullish structured weekly profile what happened in the ESMini tested the bottom of its weekly profile 2858 it's trading above that and it has held and the Russell 2000 as we know has tested the bottom of its daily profile support, support Steve Rhodes with TFNN we'll be right back If you're in the CD market and looking for a secure investment the Tiger First mortgage program may work for you. 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investment objectives risks, charges and expenses of the direction shares carefully before investing the prospectus and summary prospectus contain this and other information about direction shares to obtain a prospectus or summary prospectus please contact direction shares at 866-476-7523 the prospectus or 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 investors such as traders and active investors distributor for side fund services LLC don't forget you can listen to TFNN live on your mobile device 24 hours per day go to TFNN.com then hit watch Tiger TV that's TFNN.com then hit watch Tiger TV for the latest market information I was off 160 S&P down 11 Jeff writes in and asks if I could explain the TD 9 count series let me do it like this let me take a clean chart for you Jeff first it's a tool it's a set of tools that were created by Tom DeMark that's why the TD out there let me choose gold we haven't looked at gold yet so let me just pull up in the gold chart see here if this helps you and I out at all I know it'll help us out because we've got the counts on here but let's look at a 30 minute time frame chart for gold now the Tom DeMark has got a number of really great tools and indicators I've chosen this one because of how well it works and how easy it is actually to explain versus some of his other count systems like sequential or combo and a number of other tools that are out there but if you've got an interest go pick up his books they're really thorough reads make sure you don't have a glass of wine near your side when you're reading it and read it about 50 times and maybe but any event great great book out there but here's here's let me let me get right to it it's like picture again this is the set of emotions when we look at any time frame chart we're looking at the set of emotions of traders during this time period here and on runs to the upside momentum runs the upside and momentum runs to the downside what we will typically see it's kind of like the marathon that's being run here even if it's on a 30 minute time frame chart you'll see that bottoms that we can see two bottoms that have formed out here ideally with in gold with his TD set up nine count three of them let's take a look at them let's start from left to right first of all Jeff what you have you're looking for you're looking for the close of each bar and comparing it to the close of the bar for bars earlier in a run to the downside here my count bar number one was when we had the first instance of a close below a bar for bars earlier as long as there's nine successive successive counts that's what creates the pattern now the interesting thing about the pattern is that in this case here if a bottom is going to form it will usually do it on bar eight nine or the bar following bar nine out there in this case here it was right on bar number nine right on bar number nine now as it made that move to the downside it set up a resistance line that resistance line Stevie has painted in green makes the nine count back here let me get my cross here out here makes the nine count this is a ten o'clock in the morning this up all interday traders anybody out here it works for all time frame so you know but anyways makes that low ten o'clock in one that is May the sixth now if you use that as a trade signal then you said I'm going long and I'm going to ask you the question where is it you're going to exit your trade and this is what it would have looked like back then it would have looked just like this that as soon as that bar number nine gets created the green line automatically forms on my system and if you'd entered that trade right around here twelve eighty you know twelve seventy nine your intraday trader I was going to ask where you're going to exit the trade you would have known you're going to exit that trade or look to exit that trade right at where that green resistance line is that was a twelve eighty three ninety we pulled this chart forward where did price find resistance right at that green line why because when you do this nine count out here it's the beginning of a huge momentum move or set another way it was the beginning of a breakdown it was the breakdown or could be the break out break up to the other side and so price all it did was it got back to the break down area again I don't know how this works I just know that it works out here doesn't work all the time absolutely not hey look at this nine count top out here that formed at eleven thirty and it made a move lower out here now I've erased the lines I just have the last two you know I could decorate this chart with as many lines as I want out here but here's another nine count top to make you where if you're trading an instrument today and you're looking for signals out here here if we take a look at this most recent run lower it formed its bottom this is gold on the bar following bar number nine it did that right here this was at thirteen thirty in the afternoon on May the eighth out here when it actually topped out during that run it was the bar following bar nine right here at four thirty in the morning remember that bar nine here where we get the top at four thirty no more so that ninth bar forms this red horizontal support line forms so what happened this morning at ten o'clock what happened at basically at eight thirty this morning for those of you that trade gold and maybe look at a thirty minute chart out here what did price do it came right back to where price broke out is it really any wonder that we didn't see price bounce off of that level out here that I can see so Jeff this is the TD set up nine count at work it works for all time frames out here all time frames thirty minute two minute hourly daily weekly monthly quarterly and so it's a it's a it's a I consider it to be a very cool tool so that is courtesy of time to our Jeff thanks for it and I hope that answers your question with regard to what the TD set up nine count is no other questions out there none inside the Tigers then in essence we kind of covered gold didn't we did we cover gold we just covered it from a from a short term time frame if we take a look at gold just on the daily basis twelve eighty five not really that interesting out here not won't be interesting will not be interesting to Jay correct me if I'm wrong Jay it will not be interesting to Jay until he sees price close above this down trend line out here otherwise all we have for gold it's pretty simple it's trading in a consolidation that consolidation pattern basically looks like this and so you've got a measured move breakout twelve sixty eight to twelve ninety so you've got basically what twenty two buck runes out here whichever way price breaks through the consolidation should it break close above close below you're looking at about a twenty two dollar move at least a twenty two dollar move that's how the consolidation patterns works a goal just trading in a sideways consolidation not a whole lot of not not really interesting out here for Stevie if you take a look at the GDX I'm sure someone has a question about that if we go answer the GDX question out here what are we going to see the GDX question we're going to see really not interesting either right now trading right at Stevie's red line right at Stevie's red line never like to see my line turn red in price below it because then you've got a falling price oscillator below zero so the GDX is also not very enthused by the price action inside of Goldilocks so be careful there so we're seeing a fairly decent move here in the last few minutes move to the upside hammer candles abound but it's only one forty nine in the afternoon it's the two hour time frame charts that were consistent inside the ES the NQ and the Dow with regard to signals with regard to pattern signals so it's probably those time frame charts that you will want to pay attention to to help you read the message of the market what is it that I was referring to remember Jeff to ask about that TD set up nine count well there's a two hour time frame chart for the ES mini when did it bottom bar after bar number nine out there and now it's created it was price was moving lower doing this relative energy less relative energy and you've got this big old bullish engulfing candle here's the way you're going to know what's going to go on you see price close over that TDST resistance line that's where you think the counter trend rally should Peter out that's at twenty eight eighty eight twenty five out there and that's true and a close above it says we may have a change in trend in place out here since nineteen eighty four Basil Chapman has been using the Chapman wave methodology to advise traders of his expert market opinion well originally hand drawing charts from the late nineteen seventies into the nineteen eighties Basil noticed that prices under most circumstances virtually always had a certain number of legs to the upside before declining sharply later Basil found the computer software which included the standard market technical indicators enhance the degree of accuracy and calling price turns as well as market trend calls thus was born the Chapman wave sequence using the Chapman wave methodology along with other indicators Basil Chapman advises his subscribers of his expert market opinion each market day with his opening call newsletter right now you can get a two week free trial to the opening call Basil's daily trading newsletter by visiting the front page of TFN.com cancel it anytime during that trial and pay absolutely nothing get your two week free trial to Basil's newsletter the opening call today by visiting TFNN.com it's amazing to think that Tom O'Brien started his weekly gold report seventeen years ago with the first issue published April 7th 2002 when gold was trading at under three hundred dollars per ounce gold peaked at more than nineteen hundred dollars in 2011 and after spending many years consolidating at lower prices gold may be poised for its next big run Tom O'Brien publishes his weekly gold report every Monday morning for subscribers consisting of coverage of the XAU HUI GDX the dollar bonds South African brand as well as twenty five different mining equities with specific buy sell recommendations as of April 1st of this year the gold report currently has eight active positions with an average unrealized profit of almost 8% for each open trade new subscribers get a 30 day money back guarantee so you have nothing to risk for all the details and to start your gold report subscription today visit the front page of TFNN.com don't let gold's next big run pass you by sign up today you know what's cool taking something that's good for you something specifically formulated to help with weight loss better sleep stress reduction and the need to detox Niko our hunter and gatherer ancestors found all their nutritional requirements for health in their wild environment but today our food sources no longer contain the vitamins minerals and nutrients our bodies need to stay healthy and strong that's why we need primal edge daily nutrition it includes a special blend of ionic soil based vitamins minerals fatty and amino acids in an easy to use liquid form primal edge is powered by highly concentrated folic and humic acids nature's preferred delivery system they've been called miracle molecules because like sunlight air and water life cannot exist without them that's right page they ensure we receive all the nutrition we need to be healthy and thrive we take it every morning primal edge formulated and approved by Niko and Paige of living a primal lifestyle buy it today for just $89 click on the primal edge banner on the front page of TFNN.com this is David White stay tuned because coming up next is the power trading hour right here on TFNN welcome back folks so two minute countdown here Beverly asked if we could take a look at the Facebook for her so let's go do that ticker symbol is FB and as we take a look at the Facebook what we're going to see that it is done so far today Beverly it's pulling back to the top of its daily profile 185 80 the low today so far is 186 26 so from this chart perspective the daily chart perspective it remains bullish we look at the weekly chart well above it's a weekly profile top of its monthly box 154.91 however prices trading into potential resistance longer term the longer term resistance as it is the top excuse me of its monthly box $199.50 the high so far this month $196.18 last month we saw a print of $198.48 so longer term a resistance level that you're going to like to see want to see price close above from the long term standpoint on the daily chart using my other system is there any other signals out here the answer is there's not on the daily time frame do I have a topping signal out here I don't per se but let's do the wave count well I take that back if we do our wave counts from the low on March 18th you get to wave number seven that's letter number G that identified the top it's why we pay attention to those patterns out here now the question is is there the downside you're going to have to rely upon that profile level of $185.80 if price closes inside there Bev that says price could pull back to $179.45 do you have anything to worry about well look at the high so far that we've seen out here inside of Facebook on a weekly basis two weeks ago TD set up number eight bar number eight last week number nine that count is in place out here that says should things really get wild inside Facebook look for it to pull back into the 160 level so you do have a topping signal in the weekly you've got one in the daily you do not have one inside of the monthly except well we really did have a topping signal inside the monthly didn't we that a signal so much but resistance at $199.50 out here so Facebook still looks pretty good it'll look less good the close below $185.80 so folks thanks so much for being here stay tuned your favorite polar bear David whites up next after that Tom will Brian I'll be back with you on fun day Friday have a nice Thursday