 Welcome back, folks. Dow. Dow's off at 1.42. You get the Nasdaq off 1.12, S&P's down 28. Let's go over to our man, Mr. Basil Chapman, as we do each and every Tuesday at 20 past the hour. And don't forget, folks, Basil has an outstanding show here every trading day, 12 to 1 Eastern Standard Time. Also has a great newsletter, the opening call. Now, the way you get the opening call, folks, you come over to our website at TFNN. You're going to go right into the newsletters, you're going to see the opening call on the right-hand corner, bottom line, you just hit that banner, the opening call. You can get Basil's newsletter for one month for $128. You can get it for six months for... Come on, baby. Sorry about this. I'm going to get you the right price. I don't want to just pick it out. Sorry. Anyway, you get it for one month, six months, a year, folks. It all comes with a 30-day money-back guarantee. Six months is $595, which is a savings of $173. A year is $995, which is a savings of $541. Now all of these folks come with a 30-day money-back guarantee, so you've got everything to win, zero to lose. Basil Chapman, what's going on? Hi, Tom. How are you doing over there? I'm doing good yourself, man. Very nice. Thank you. Well, we've got a market that's moving around a bit. Well, I'd say to subscribers for a little while now that this is one of the narrowest trading ranges that we've had. But if you recall, when I spoke to you last week, what I was saying is that we just go through this quickly in the Chapman methodology. We're looking for the most identifiable, lowest low. And then we look at each peak, and we actually, we chart them out by saying the first peak is a peak A, and then if it pulls back and doesn't take out the left side low and then starts to a new recovery high, that starts leg B, if it makes a peak, it's called peak B. Anyway, we go all the way to the fourth highest peak. That's where other things can happen. It can go to EF and G, but D is where we start to look at a potential for a deeper decline or a recycle to the upside. But it's where we raise the foot off the accelerator and hover over the brake just to be careful. It's like the yellow light goes on and I always like to look at patterns, straight line up or down is one. The arch formation is another and a cup formation. So three patterns, or you can get a mix of the three. If you take out this left side low, which we've done a few times today in the intermediate into the intraday trading, that usually can go to lower lows and on the upside it goes to higher highs. So with that said, let me show you what we've got. There's that big cup formation that I was talking about. Why did I say about the letters? The fourth highest peak D is where other things can happen. Well, peak D was the high that we were actually just, we went short that very day of 27,398 on the 16th of July and took profits on the way down. And then we had those arch formations that turned into an M. And then there was that big spike above them. So what happened is when I spoke to you the other day, I said, we've now made another peak D in the Chapman Wave methodology at 27,306. That was on the 12th of September. But and also in the V shape pattern of the weekly chart, it hasn't taken out the previous high and the technicals are much weaker. So that's it to me. You got to be very careful. So we were able to let me just do that. We still have our long positions taken profits on the way up. Still have some core positions on the long side because I think the big test is coming the next few days. So just to show you there was this pattern that I was using nine period exponential moving average and the 14 period moving average. The green is on the way up when it goes above the 14 period moving average. As you can see in this daily chart of the Dow, when it crosses negative, it goes to pink and it saves that way until it comes back and crosses back over. And then it goes green again, the 14 period moving average. And what I said is I noticed in the cell signal that I got in April, just off the top, the day before the top actually, that it took a long time, took about six or seven sessions. It actually took about eight before it crossed the price itself crossed. And you've got the negative connotation with the two moving averages turning negative. I said, the same thing happened in April when we went short. We just had to sit and kind of buy our time to say, hey, we're in the right position, let's see how we can handle the next bumpiness because I anticipated that the nine period and 14 period moving average that show that strength that allowed residual balances to occur would occur again. And that's what happened until it really broke down. And you can see here, it took about eight or nine sessions before it crossed decisively to the downside. So I said to subscribers, we're going short, and we're going to be watching this closely because there is still some residual strength in these two moving averages. My MACD had turned, it started to turn down, the on balance volume, everything. But I needed to see those turned down. So yesterday we shorted another sector that we haven't shorted for a long time and that's actually sharply down today. And in this particular instance, you can still see there's residual strength. So anything that can happen could have another sharp balance. But I think we've put a top in place here that is at least a short to maybe intermediate term top we'll see. But in fact, in my show this morning I said, this rectangle, and I drew it in, I'm calling it the bad news cloud cover. I always say that you can't keep going down unless there's a theme that's out there in the background. You've got to have something that's, come here, an hourly news event. It has to be something that has a little bit more permanency to it. So I said, we need to see a decisive close below the 14 period moving average to feel that now we've got some kind of confirmation that the cell signal in the daily has gone to a cell mode. So we'll see by the end of the day. So this is the very important thing because that until if you think about it, if this green line still has all that way to go to go to the black line, that's 28,938 is the green 9 period moving average and 26,819. So it has 120 points to go before it actually closes below. So that says, yeah, you can have a couple of balances, but this is what I'm keeping in mind. And that's the way I'm looking at the the technicals in the day. So what I do with my subscribers to the opening call, we're talking about the Dow industrials. Right? That's I'm talking about the down. So I should have said, yeah, this is the Dow industrials. And what I said is that we got to be very careful here, but we're going to use the technicals. And every day I've been showing based on the Chapman Wave methodology, so it's really a learning experience. I like to think of it as an educational forum as well as a newsletter. So always how you always put the exactly what we're looking for, why we're looking at it, where the next trough should be, where the support levels are, the MACD stochastic. So it's a learning process. I like to get letters from my subscribers saying, hey, thank you. We've really started using some of your techniques. It's really cool. It's awesome. Yeah. Yeah, it's nice to be able to have something that's concrete that you can you can look at. So that's what we're looking at. And the other thing we're looking at is the SMHs, which have been really strong and leading the way up for, you know, just they had a huge move. And now they dropped very sharply. So we actually did start a short position yesterday. And now the SMHs are down, semiconductor ETF is down two at 117.90. It's maybe just the start of something I don't know. But it has, I said, let's see if we can fill the gap. And that's the gap that was a big sharp move up on the 5th of September and the low there was 118.31. So we have started to fill that gap. So it's just a process. I don't want to get too excited about it. Just trying to be very disciplined, see where this takes us. We've got the positions we wanted. Now we have to just let them play out. And folks, it's really easy to get Basil's newsletter the way you do it. You come over to our website at TFNN. You're going to go into newsletters. You're going to go under the opening call. You can get it from month, six months a year. A month is $128. Six months is $5.95. That's the savings of $173, a year is $9.95, which is the savings of $5.41. All come with a 30-day money-back guarantee. Basil, you have a great one, safe one. And of course we look forward to the show tomorrow. Thank you very much, Tom. You too. Thank you. Stay right there, folks. Come right back.