 Welcome back folks to Dow. Dow Industries right now trading down $360. We hit the Nasdaq off $68. S&Ps are off $36. Let's get over to our mam. It's to Tim Ord as we do each and every Thursday at 20 past the hour and you can reach Tim every trading day folks at Ord-Oracle.com. That's Ord-Oracle.com. Tim Ord, what's going on brother? Well, I sent you a chart probably about an hour ago. Did you get that one? I have it. Do you want to start with that one? No, actually I wanted to, I just want to make sure you got it, but we'll start chart number one which is a monthly chart. Okay. And I drew a Fibonacci relationship from the March 2020 low and if you can see it there I have a 50% retracement. Yes. Which was pretty close didn't quite hit it in October of last year. Okay. That was a low for that decline and the market kind of worked up has been working up since that time. I have a great big line drawn to us down to the volume and I have a finest drink there. Right. Yes, we see that. Yeah, if you notice that big volume on that it was a monthly chart so that was a month of March. Yeah. And I drew a neckline and if you can see it, if you connect the highs going back to the morning of that neckline it broke above that neckline with a sinus strength. So in a Weisskopf term that's a breakout of a neckline confirming a breakout. Okay. So that neckline is around 405 on the monthly chart. Okay. So I got the breakout. So the market went up a little bit in April. Now we're in May and we're kind of right back at the 405 area. Yes. So on a monthly chart I have a confirmation on a monthly chart that we broke above the neckline and the neckline is support. Now if you go to the chart I sent you about an hour ago. Yeah. I got a kind of shaded area, a pink area at that 405 area. And if you look at late March on the volume chart I got a red circle around a volume. Yes, we see that. A spike in volume. Yes. Right. And we compare that to the previous high which is another circle around a volume area in early March. I see that. Yeah. You jump the creek with a sinus strength. You know that's Weisskopf. Sure. So now that area should become support. And this is what I really want to stress. You never get a bottom without panic. If you don't have panic you don't have a bottom. And there's a lot of different ways you can define panic. You can do it by the VIX. You know if you get spikes in VIXs you know you can do an RSI on it or a rate of change. You can also do it with the TICS and you can also do with the TRIN. There's probably some other indicators you can do it with but those are the three that I use. And I once you get to a support area and it's going to be support you got to have panic. If you don't have panic that support area is not going to hold. And I want to point out here. We jumped above 405 and last week when we were talking last Thursday it says we're pulling down to that 405 area. Now I'm saying it's going to hold support and reason why you got panic in the TRIN. A TRIN reading on the close of 1.20 is considered panic. Well you had panic on Wednesday. You had a TRIN of 1.35 and on Thursday the day of the low you had TRIN reading of 1.68. And Wednesday of last week you had a 517 down to grating 2. So you had TICS showing panic and you had two days of TRIN panic. Now so the market rally is up. It's a high on Monday. Now we're back into the pink area again. Yes. So now we had on Tuesday we had a TRIN close of 1.40 which is panic. Not much on the TICS there plus 174. Yesterday we had a 116 on the TRIN which is near panic. But we had a 469 down to grating. Over the years I came to conclusion if you get a TRIN reading of 1.2 and you get a down to grating within one day of a panic TRIN reading. Now there's day before or day after. I call it a bullish combination and that suggests the bottom will form within the same day as I was reading to us two days later. Well the combination came yesterday. We had a 469 down to grating. Day before we had a 101.4 on the TRIN which is a bullish combination. Okay. Suggesting the low will form either yesterday was obvious that's not the case. Mark went lower today. It would be today or tomorrow. So anyhow we got panic back in the 405 area and once the TRIN reaches panic area and the TICS reached panic area in a previous support area normally you go back to that area you'll get panics again. It's just sport. This is exactly what we're having here. So Tim let me ask you with that if we get our head wrapped around the volume here now what's going to happen we're coming into that area for sure but the volume is going to expand. Yeah that's a good point because you got a gap there. Yes. We talked on the radio last Thursday. The market gapped up on Friday and left an open gap and I'm saying that crap. Anything I hate gaps away from a support area is that a lot of times you come back down to them. Yes. But if you follow the volume since the scenario from last Friday the market as see yeah Thursday is when the market bottom that's when we were talking and Friday when the market gapped up so Monday Tuesday was a high right. If you notice that's correct. Yes. Yeah. Yeah. Volume dropped out Tuesday because the market hit a new high and volume dropped off. So there's no energy to the upside. So now we're going back down. If you test the gap on 10% lighter volume so last the level would be your last Friday's gap would be the volume you test against it. So I'm not. You should test the previous gap areas like testing a previous high on 10% lighter volume that's usually implies resistance. If you test the gap area on 10% lighter volume that's a support area days not over yet. Yeah. No. No. I'm with you there. I get it. I was just questioning the aspect. I get it because what's happening right now. Let me just we have divergence in a big way between the S&P and the and the cues because what's happening if we look at the three cues right we're coming into a 65 million and we're going to be lucky we're going to do like only 50 million in the cues right but the S&P that so if we look at the spy and this is always tricky folks when we have divergence okay they're coming in and we've already done 71 and it only has to do 85 so that you know the spies going to end up doing 100 million you know so listen just hold that thought all right so we're going to we're going to take a quick break and we're going to come right back we'll go through the other charts and we'll go from there man as you said the market's not the day's not over yet right right not yet so that's the bottom line stay right there folks Tim or myself we're going to be coming back you can reach Tim at odd-oracle.com that's O-R-D-O-R-C-L-E.com Dow Industries right now down 310 306 S&P's off 30 Nasdaq off 50 we're going to be right back welcome back folks to Dow Dow's down at 296 Nasdaq's off 47 S&P's are off 29 we're talking with our man Mr. Tim Ord and we are talking markets so Tim we have the chart up here of you know the the two circles with the with the the volumes on it right do you want to continue with this one or do you want me to go to another chart? No I will continue just a little bit longer you know that that gap did form last Thursday and that gap on the SPY's volume wise was 93 million shares just a smidge less than that but anyhow it was 93 million shares so if we're testing that gap today on 10% lighter volume that'd add to the the bullish situation because we've got panic and the ticks and trend add around this 405 area and if you get volume to match it to be 10% lighter which also leans bullish then there's the probabilities really increase that this 405 area will hold and if you also look at the monthly chart which we went over because we did have a sign of strength through that neckline at 405 and that 405 should hold the support and since you're showing panic in this this area yeah I'm calling this a probably a bottom now if we didn't have on this pullback we had over the last three days if we did not have the trend above 1.2 or tick readings above minus 200 then I'm saying yeah we're going to blow through this 405 and go down lower but since we already got panic panic only forms that at lows then uh I'm I guess confident that this 405 area is going to hold that saying today's going to be the bottom no I'm with you if we can so for 10% lighter volume I'm saying probably today is the bottom yes let me ask you this I'm trying to figure out whether we're on the I'm on the wrong date or not because so there's I can see we we had a sign of strength I can't see that far on my chart because it's way too in front of me it went from 404 to 409 and that I'm talking to spy now that had 112 million shares so we're definitely going to be way below that but that's not the swing point but that was a sign of strength going all the way back it looks like at the end of March so that's where the gap side is that what we're talking right there well there's a gap that formed Wednesday's closed to Thursday's open of last week okay that gap I have it I have it labeled there on a and we're testing that you see that pink area yes I do that shaded pink area okay I have a gap a line there's gap on it pointed to that area which is I got it I get it okay I don't yeah yes okay we're we're testing that gap right now oh I see you know what's happening folks here I'll show you this on this screen watch this I see it Tim I got it now what's happening is that when I look at this line shot that I have so if you're looking at this line shot folks you're gonna see it looks like there's not a gap but there is because this at the bottom which that's entry yeah because the bottom that we had hit 40376 that day and that's when it gapped up because see this on the right hand side folks I'll get the cursor off it that's where we actually closed and then the next day we opened I see what you're saying Tim okay it didn't even 403 that's so intriguing so picture this that that love that yeah it went right to the gap man and closed it okay cool I got it yeah we did it today yeah and that gap which was be Thursday's volume or yeah be Thursday's volume because that's the gap up from Wednesday's closed so you take Thursday's volume which is 93 million shares so you need to be around 10% liar than 93 million shares today to say that gap have a gap has support okay so the day is not over yet we got you know 25 minutes to go yeah we're not gonna do that so to walk the listeners through this again so what you're doing even though the swing point is down there at that 40378 you're saying that the next day we had thought the small sign of strength so we're going to use the 93 million number which totally makes sense I see and then now word so they're the lower that was 40674 so if we actually closed above 40674 it'd even be better today right yeah yeah cool okay because you're testing the gap there's another thing too today's Thursday was Tuesday if you look at Tuesday's volume yes I think we had we had a hundred and some million shares yes we did yeah I don't exactly what number I have 103 but once we had yes and we broke through that that low of Tuesday today we didn't touch the low yesterday that's correct a little bit short right but we broke it through today that volume is 10% lighter than yes the previous low that means a false breakout to the downside okay so you're testing the gap and it looks like could be 10% lighter volume yeah I think it probably will be and you broke below Tuesday's low on the 10% lighter volume that implies false breakout so and we also got you know again panicking the ticks and trend yeah on this decline over the last three days we didn't have panicking the ticks and trend this then probably we'll be hitting a lower but in this vicinity was probably where this bottom is it's the combination I got it cool man okay yeah and there's another thing too I do a lot of formations too I'm thinking you know we see the little high we had first of April yes the only thing we went down there made another high in mid April yes we went back down again then we made a higher high what Tuesday this week right and I'm thinking that three drives to a top pattern which has downside target to where the pattern began right which is basically where we are okay yeah it is right cool okay yeah and three drives to the top patterns usually not a long-term topic but it's a timeout and an uptrend I used to call it right so right nice but yeah that's my feeling I know we got about two minutes to go here yep you want to flip to the gold chart real quick yes absolutely okay I have it up all right this is how do you know when the market's going to trend well I can tell you so the second window down from the top or the top windows gdx okay next window down is the gdx advanced decline percent yep with a 50-day moving average yes if it's when it stays above zero the market's in an uptrend and all those blue shaded areas yes are when that 50-day average is above zero there's a lot of little quarks in there that didn't stay above zero by isn't me I just put the ones that stayed above zero yes and so those are ones so anyhow we've been above zero since last august and we went down a little bit uh I don't know look like about February or or something and we turn right back up and we're back above zero again and we're actually gaining ground right now today's reading was that been higher over the last two days so my opinion another impulse wave even though we did correct here over the last couple of weeks the indicator in general stayed above zero so we're still in an impulse wave and we're going on to well we're in May so we're going on to what eight months nine months of rally here and so far as long as these indicators stay above zero the market isn't in an impulse way to the upside so this rally what I'm saying is there's no sign of a top here even though we consult a year over the last couple of weeks the up-down volume advanced client indicators remain above zero just in this impulse way that's really go to the upside and of course the consolidation is helpful because that's building cause to Tim right yep that's building cause listen folks I'm at mr. Tim was going to be doing a workshop for us he's gonna basically come in give us a lot of great education so you stay tuned for that Tim you have a great weekend safe weekend of course we look forward to speaking the next Thursday all right sounds good thank you stay right there folks to come right back