 Let's get over to our mammoth to Basel Chapman as we do each and every Tuesday at 20 past the hour and don't forget folks Basel does an outstanding show here every trading day 10 to 11 Eastern standard time also is a great newsletter the opening call. Now it's very easy to get the opening call folks you come over to our website at TFN and you're going to newsletters it's on the right hand you hit newsletters it's on the right hand side you'll see the opening call you can get the opening call for one month for $149 you can get it for six months for $695 which is a savings of $199 and you can get it for one year for which is a savings of $593 or 33 percent. Now they all come folks to the 30-day money back guarantee if you get Basel's newsletter you're not only going to get a great newsletter you're going to get an amazing education and Basel what's going on brother? Hi Tom it's not what's going up it's what's going down right now and the dollar's down almost 500 so you know what's interesting you know for for about quite a few weeks now I've been saying to you I've got some I'm going to go through this real quickly because there are a couple of things I want to go through so number one is I have a technique that I've developed over the year it's just actually decades where I look at something I think internal low and then that's where all the technicals come together and later on you get the residual low and it could be a little higher it could be at the same price it could be low and think of it as an earthquake where you get an earthquake and then that and then you get the aftershock and the aftershock can be much worse it could be much less but there's an aftershock so I've always noted that and said the market tends to at a certain point ignore bad news and then at a moment it suddenly everything that was just day before was fine becomes an issue so about 11th of November I said to subscribers and I actually showed this in the in the den here at a certain point in my show the target technicians hour at 10 in the morning I said I think we're in for a very choppy period and this choppy period says to me that we're probably making what I call a dark news cloud cover meaning that the news is going to start impacting the market to the send in the sense that there'll be a negative response so we've been very choppy so I wanted to show you this chart and then to show you some of the technicals that I like to use uh let me see if I can get to it I'll get this out the way so peak D the fourth high speak in the chapter ways is where we always get a little bit cautious of Dow at 34,595 made a peak D the S&P at uh 4,000 oops am I going to hit the wrong thing yes I did let me just do this quickly S&P there it is made a peak D and the uh and that's very interesting because it was waiting and waiting waiting and finally it did now look at this big ugly bar but the nine period moving hasn't crossed under the 14 so so far that's a good sign same with the Dow but it's under the the uh orange line which is the 200 period moving average but look at the weekly chart you see this weekly chart I spoke to you for quite a while saying there's what I call an inside track repellence zone it's like a little mini channel and every time the price got up to it it couldn't close above it the the Dow did but the S&P didn't look at the way the queue right now I you show yesterday I heard the saying that right yeah I look the same thing now the queue now look at this and this is a chart a black background chart okay and I've got a long term just one one line is called a trend line and two lines if they go parallel called channel lines look at this one line now I haven't drawn the channel inside track a propellant line because it's above it that's the Dow but look at everything else look at the S&P underneath look at the QQQ underneath hasn't even got there yet look at the IWM just went a fraction over now it's on look at the IYT which is the transportation index went right up to it and then pull back so those are things that I like to look for easy technical things that I show subscribers that you can do you take a trend line you just join the outer outer limits of the bar of the WIC and you see where it takes you and you can see once we start to trade decisively above the same the transportation index or any of the other indexes not only does it help the data to help the weekly chart and we have to wait for that so one of the things I say to subscribers is we've we're still long we're still three times along the Dow because we got in such a nice low point but we're being very cautious we've raised quite a lot of cash and we are looking to put money to work because I think that there are some areas that are doing very well I mean if you look at Caterpillar yep Caterpillar has had a big move down from this arch formation from the double top of 239 and I spoke to you the other day I said isn't it amazing how many stocks even the triple digits toss can go within pennies of the previous high and look Caterpillar went 239.85 then 239.63 and I spoke to you about Exxon the same thing and I said and I've been having people calling to the Tiger T dishes are asking about Exxon and the oil stocks and I said no I think I think oil is coming down look at Exxon it's gone sideways distribution and that 114 level it hit about six times over 10 sessions almost to the penny and now look at that it's almost a one-to-one to the downside so I think this is a moment of caution we've got to be very careful but I would say you should start building up a kind of a portfolio that you would like to get of stocks that you haven't got you can use some of these techniques look at this arch formation in Exxon it made it beautiful I call it bar symmetry from the left side to the right side I've got a technique that I call Chab Wave inside wedge target resistance as target support line because there's pink on the way down and it says that this is the line that should be supported and when it breaks it's going to go lower and my target is 100 and my target is 98 dollars by the 15th of December based on this particular technique so I like to show that I show that in my in my daily my Tiger technicians hour I show how we measure the moves on the left side to the right side I show these cup formations the arch formations and how they work so it's I like to make it a very ongoing and active hour when I'm doing my show for sure yeah you know what I heard today Basil so check this out folks this is pretty well this is on Bloomberg like about six this morning they had a guy on and that's who their question was is hey man the Dow industrialist has you know led this market he says yeah well he says if you check every recession that's exactly what happens it's like okay you know that if a recession is coming the Dow goes ahead then it gets everything gives it out is the last one to make it's high yes so that that that is all true at the same time people have to recognize this has got nothing to do with the Dow industrials it has maybe two or three cyclicals like Boeing but really it's the Dow 30 it's a mix of every single sector I actually like it because of that reason but yeah we've got to be aware that the Dow is only I'm always fully aware it's only 30 stocks but I love the makeup of the 30 stocks oh yeah no no I get it I mean you know I can make the argument that well you know they used to be trains and planes okay in the bottom line is that now we know that trains and planes as you know the internet and technology as part of the Dow theory correct yes right yeah so it's going to be an interesting a few days because we're getting close to some support levels that need to hold the Dow as 32,500 there's 200 period exponential moving average there are a lot of things going on here that says be be aware that the the here look at the single move a just one leg from the low that was made at 28,660 in middle of October this is still just a leg aim because all week to say does it go above 34,595 if it doesn't we finally got a leg a peak a in the daily chart the weekly chart I like the Dow I must say the technicals are starting to improve so that's good that's that's there's no there's no doubt it's pretty tricky here right now I mean because the reality is is that you know it's like you're going south you know I mean the weird thing about this recession folks that everyone talks about is like the whole world's talking about recession it's like okay is that the fact and there's another fact out there that there's never not been a recession when 87% of the curve basically is you know is inverted which we have yes but the other way they look at it is that if you look at the semiconductors they've been in a recession for over a year or about a year right you know all these major turn downs in some of these sectors they've essentially had a recession I mean I don't know how much more it's going to go but that's the way I look at it so no no we know chips are commodities I mean that's that's the reality do you know what I mean it's absolutely they do great they're like gold you know anything else is a commodity the oil of the 21st century because everything needs chips now there's no doubt use oil yeah there's no doubt listen folks you know for our website at tfnn you're going to go into newsletters and you're going to see the opening call right on the left hand side hit that button subscribe you're going to love it and as we look forward to show tomorrow morning have a great one a safe one you too John thank you very much thank you stay right there folks who come right back