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The following is a presentation of TFNN. trade what you see with Larry Pezzavento toll-free at 1-877-927-6648 or internationally at 727-873-7618 now Larry Pezzavento okay looking good Billy Ray feeling good Lewis Billy Ray Valentine for TFNN 100 South Broad Street Philadelphia Pennsylvania and we're going to take a look at natural gas folks from our good friend Ronald ask us to take a look at it we've been watching it here for quite some time the key level that we were watching of course was you can see there 2.50 it was holding that trendline which that trendline is basically a 135 pattern where each we have higher bottoms and it was very important that it hold that level and of course it did not we're now trading down around the 220 level this is where pattern recognition comes in with supremacy folks because when it goes below these numbers you know that something is wrong and you have to get out that's basically what it is it's nothing more nothing less you've just got to be strong enough to take the loss and move on not all trades are going to work those of you that have been involved here with 24-7 this past week know that we've had some really good trades and soybeans and gold and in the Euro and we missed the Euro we had a monster winning trade in the British pound today which will go into by just a little bit but I just want to finish up here with the natural gas that means that the next level that comes down is going to be down around the words trading right now the problem is there is a ratio there but there's not a pattern and what pattern recognition swing traders do is they try to line up things that line up so that what they're doing is they give you an edge and that edge is price and time coming together when you have that coming together just like you did in the British pound this morning and I'll show you this one because we were watching this Sunday and it did exactly what it was supposed to do do they all do that absolutely not but you can see here we had this beautiful abcd guardly right at the 78 percent level and if you don't believe in abcd look how the high was made folks abcd now here's where it gets real tricky defy human nature and do the work yourself count the number of bars from your low to the high okay then look at the retracement that occurred right here and that isn't exactly like the retracement that occurred right here remember this isn't that one of the third or fourth largest currencies in the world and then finally you go up and you count the number of bars up and this makes this a three drive to a top pattern drive one drive two drive three different than a guardly pattern a guardly pattern has lower highs abcd again defy human nature count the number of bars up in the ab leg count the number of bars in the cd leg and where did the cd leg come to 78 percent level what was the high 78 percent level this is not mysterious stuff folks it's just a matter of looking at a roadmap now someone asked the question is that a head and shoulders pattern if you look at the left shoulder right here you'll see that it is considerably lower than the right shoulder so that does not make that a head and shoulder pattern based on the rules of andrew lo's book the non-random walk down wall street he said for and in order to be and this was mathematical formulas far beyond this little cowboys uh pay great i'm closer to a farmer than a cowboys by the way but you see you have to have you have this this high here should have been equal or lower right here but it's not it was substantially higher by one point that the time difference is correct from head from shoulder to head to shoulder was very close within a couple of days but that didn't make it right because the price was not right so all we're doing was we're just looking at the abcd structure this is the structure that was on page 222 of garley's book where he spent two full day two full pages describing he said look for a market that makes a retracement after a big move down and making an abcd pattern there and on page 222 that's why i called it the garley 222 and that's where it came from and that's where it stands this day folks i only those of you that know me and that subscribe to the stuff and read the books i look at about seven patterns seven buys seven cells and that's all i'm looking at some people say why don't you look at really really long term things i do folks but i don't i'm not interested in really super long term trades like weeklies and stuff like that unless it lines up you know absolutely perfectly we had those we had that in corn if you remember here just uh just a few i wasn't i wasn't very long ago that we had it in the corn and uh if you'll give me one second i'll get that corn chart up here and show you but that that's only time that i'm looking at really long term charges when they line up it's all about risk control folks it's not about the money you make it's about the money you don't lose and that's the real key to uh what you're trying to look at here that that's that's the bottom line now folks something has happened here uh this weekend that is so very very important and you're probably going to laugh and when i saw it i saw it from two or three different people larry william sent it to me and a few other people sent it to me but when i saw it i really had to to laugh because i've been following uh barons for many many years and i'll just get this up here this was from one of our one of our friends uh over in ireland actually sent this to me and i'll bring this up so you can see it then i'm going to show you the the the cover of barons so you'll be able to look at it barons has a notorious reputation of picking tops and bottoms and as you can see here that says we're ready to rock and roll the bull market is back here's the actual cover of barons this week and i mean if you historically go back and look you'll probably be really surprised i've been following it for years i had one really neat chart uh regarding risk control that came in in uh in march of 2009 if you remember the bottom was on march the fifth and i believe the barons article was uh sharks all over the place risk is as great as it can possibly be stay out of the market that kind of stuff and what was it that was the lowest risk you could have gotten in the past four or five decades so that's the kind of things and there's nothing wrong with that hey i'm wrong all the time i'm just saying that you know when you put it in print like this you know you've got to follow through now will they follow through if this turns around and happens to be in the high in the market absolutely not but that's i'm just bringing it to your attention because i've seen this over and over and over again and that's one of the reasons why uh we had a really 30 30 hand profit in that coming in today and i said we're going to give it a little bit more room of course we had a big win in uh soybeans last night and we had a nice win in in the cold gold and of course the british pound was a big win so we had four winners in a row so i said we should rely on get back to the after this break here and get back to that thought in just a moment paulo web will be our guest tomorrow mark's wife at widow and uh we'll we'll be right back for us eight seven seven nine two seven six six four eight we have exciting news tigers this june tim ord of the ord oracle will be hosting two webinars providing insight and his renowned market timing methodologies on june 8th tim will delve into the smp 500 teaching sentiment indicators identifying market bottoms and divergence and so much more on june 15th tim pivots to the gold market taking a look at cycle analysis ratio studies advanced decline indicators and other important tools for analyzing this sector sign up today on tfnn.com tfnn educating investors currencies commodities and bond markets are as important as ever right now with how they're driving the volatility in equity markets across the globe which is why it's a great time to try out teddy keg stats tiger forex report teddy keg stat breaks down the forex markets every monday using his 30 plus years of experience as a trading veteran of futures forex stocks and options teddy releases his weekly tiger forex report every monday morning with coverage of all the major currency pairs including the dollar index the euro dollar pound dollar dollar swiss dollar yen as well as many more and he also has weekly coverage of the crude oil market and the 30 year t-bonds as they both influence forex markets tremendously when you sign up for the tiger forex report you also gain instant access to teddy 60 minute webinar archive he just hosted forex strategies and fundamentals what is behind the tiger forex report for all the details and to start your 30 day tiger forex report subscription today visit the front page of tfnn.com tfnn educating investors steve rhodes started his trading career as a student almost 20 years ago and the student has now become the master steve won the prestigious timer of the year award in 2018 and barely missed that mark again in 2019 finishing at number two for the year an amazing accomplishment steve rhodes is committed to sharing his techniques and knowledge with anyone who wants to learn and he shares his vast amount of trading knowledge every day in his mastering probability newsletter steve's award-winning newsletter mastering probability is delivered every trading day with updates throughout the afternoon sign up for steve's market newsletter mastering probability and you'll receive access to seven of steve's educational webinars absolutely free at tfnn all our newsletters come with a 30 day money back guarantee so you have absolutely nothing to worry about visit tfnn.com and try mastering probability 30 days risk-free today tfnn educating investors are you looking for a way to consistently add winning trades to your portfolio tom obrien is here to help tom obrien has been successfully trading markets for over 30 years a frequent contributor to TD Ameritrade network and CNBC tom obrien founded tfnn over 20 years ago to help educate investors just like you tom's daily market newsletter market insights is published every morning when the markets open to give you the competitive informational edge you need to succeed these newsletters are packed full of tom's advanced technical analysis in our gear to deliver comprehensive strategies for a successful portfolio get tom obrien's newsletter market insights today and try all of our products and newsletters 30 days risk-free with our money back guarantee at tfnn.com tfnn educating investors hey folks i want to try to make a point on you know news that comes out and fundamentals and things like that because i i'm a technician folks i just look at the bar charts i've only looked at bar charts for 63 years folks it's actually actually 64 years 59 1959 was my first trade in elastic stop nut es and he said a little you know these little washers and stuff that they put on things the plastic ones were the first that came out in 1959 and that was a very very powerful powerful powerful my uncle bought me 200 shares at four and when it got to eight i sold it and i was able to buy myself a nice little car and start college and uh from then on i said i like this investing type stuff anyway this is carvana and you can see here it's had this huge rally folks from four dollars all the way up to 27 a seven handle moves 700 percent in just a short period of time and the people on bloomberg and cnbc were saying boy this is the start of the full bull market again things are looking really great for carvana and i said you know maybe they really are looking pretty great so what i did was i took an a look over the past year so as i got to looking at it i'll bring it up to the let you see it here you'll see that all we've did so far all we've done so far all we've did that's the tarot indiana lingo but there's the 382 we went right up to it we're trading about seven dollars under that right now but you can see it's had that pretty good rally right to the 382 right let me show you the next chart folks and this will curl your hair if you're listening to fundamentals and not paying attention to what the heck's going on you know with your stock that you're looking at here's carvana from the beginning to what's happened here when it went from 360 down to five dollars a share look at the abcd patterns at the top here folks the big one right here you can see the 382 pullback it measures up here to 350 the high was 360 and then you had the secondary abcd pattern right here up at 350 then the market breaks really badly and there's the first rally back at our old yes johnny everybody sees it 382 and look what happened all the way down so i'm looking at stuff like that and that's the main thing that i'm looking at there's a lot a lot of news on artificial intelligence folks this has been around for a long time look what look what meta has done here just recently meta has gone absolutely nuts how much it how much it took off from they're the leader in artificial intelligence i've been told by someone who really understands artificial intelligence mr. jameson and so but we've got others we got in video avco and just you know a whole bunch of amazon this and there's going to this not it's not the panacea of the world but not they're even saying that it's going to cure cancer well maybe it is and gosh i sure hope that it does but you just a little bit too early here's what i'm looking at folks we're looking at a market here that's been very very unusual even different than the dot com bubble we've got seven stocks that are absolutely going crazy to the upside and the rest of them are being dragged dragged along but you can see here these are the ones tesla amazon google meta apple and the usual tesla all those usual ones are doing pretty good in tesla like 12 days in a row or something so that those are the ones that they these stocks right here those stocks represent seven stocks of the s and p 500 and yet that is where the s and p 500 is going is because of those seven stocks if you're not in that you know you've got to be you know you have to be lucky to get in one of the other one that's moving because many of them are not doing and not doing that well so that's what i'm you know sort of paying attention to one of the favorites that we've looked at over the years has of course been the one that has a lot of cia background and stuff which is planted here and that brings it's one of our favorite patterns which is when you have a a gap up in a chart you know look for the first three eight two retracement and there you can see it there it was right there and of course it went all the way up to uh i believe the high was 16 or something but that was a big move you know when you triple up in just a matter of a few days do they happen like that very often i don't know and i don't do stocks this was furnished to us by one of our students that was looking at it saying hey did exactly what you said it was going to do it doesn't always do that now one of the the big trades not the big trades but one of the trades that we're following very very closely has been the price of gold and i wanted to mention to you this is what we were watching last night in the price of gold i want to get this up here so we'll be able to see it and it gave us a really nice signal here's one that it went there was our sell signal right here our buy signal was right above the 618 it didn't and they look look what happened it didn't get there and then it broke all the way down to complete the abcd pattern down here so what i did was i raised my order in the goal to write about here so that if it got stopped out you lock in a profit that's all i want to do and that's what happened so that was one that uh we didn't take all of what was there but we took a nice little chunk out of it and that's what we're waiting to do and waiting to see now here is a chart that i think is very very important and it may or may not be but this is on the same realm that we just discussed and that is the seven stocks that are running the s and p they they can give it a name like the nifty fifty or the the fabulous magnificent seven whatever you want to call it i've heard it call that but this is basically what the rest of the market is doing and this is with those seven stocks and if you look at those seven stocks on an abcd pattern it's a little scary folks because look at this is on a long-term picture folks a b c d a b c d this is the one for me i really think we're up here in an area where the oxygen is getting pretty thin probably wrong and if i'm wrong i'm going to be the first to admit it probably four or five days after it's happened but i'm still going to admit it and uh but this is why i'm a little bit nervous up in here when you see it in the news all the time the markets are pretty much uh you know telling you what it's looking at if nixon mondy and next uh issue of barons says you know here's the panacea and it's artificial intelligence then uh be very very careful they just have a terrible the only one that was worse than barons folks was time magazine the worst thing could happen to anybody was to get your picture on time magazine that that was basically the kiss of death they've got so many examples of that but i've watched barons through the years and that's one of the reasons why i've been bringing this up to you today because it's important to remember that what you're seeing in the news has already been reflected in these stocks you know that that that party left a long time ago we're going to take a break folks eight seven seven nine two seven six six four eight old 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 obrien 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 subscribe to tom obrien's gold report newsletter now at tfnn.com everything in the universe is governed by the fibonacci sequence this mathematical principle is responsible for everything from the most aesthetically pleasing artwork to patterns in the stock market to stay on top of stock patterns you can take advantage of sign up for the fibonacci 24 7 newsletter at tfnn.com when you subscribe you'll get a weekly report from veteran day trader larry pesavento on stocks you need to pay attention to and you can trust larry's analysis after all he's got 45 years experience as a day trader larry will also provide daily charts videos and data on the key markets that he's tracking expect notifications from larry on market movement you need to act on at any time 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 subscribe to the fibonacci 24 7 newsletter today tfnn.com educating investors sharpening your skills as an investor is like getting better at playing a musical instrument you have to practice sure but you also need excellent instruction from experts at tfnn you'll get advice and guidance from the authority and technical market analysis and it's not just dry tedious text either tfnn airs live financial content streamed live on tfnn.com and tfnn's youtube channel with tiger tv live every market day from 8 30 a.m to 4 p.m eastern for free each host is an experienced trader and gives their take on the market while taking calls and questions live from around the world from the moment the market opens until the closing bell sounds tiger tv has eight different shows with expert hosts to help you make the right moves with your money watch online at tfnn.com or on tfnn's youtube channel and become the investor you were born to be tfnn educating investors 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 okay folks we're going to have a little fun here today i'm going to post a chart here of the hourly chart on the nasdaq and as you believe that's correct let me double check hold on just a second it is in fact a 20 minute chart not that's why it's funny i didn't have four days on it anyway this is the chart i want you to take a look at here's what we're looking at you can see here this is where we had coming in last friday now this part this distance right here folks is related to the rollover of the contract okay but the price that you're looking at is going to be very similar to what you're looking at right here in other words you've got the move right here this is still there and then they roll it over on thursday there's friday's action there's today's action and so we're looking at maybe another hundred points higher and that will make a 1.61 abcd pattern that will mean there'll be some resistance coming in at that point much like what this one was right here if you go back and look that was a 1.618 expansion we came down right to a 3a2 and we're still going up how much higher we're going to go and how many days it's going to be i don't know we're seeing divergences of course in the dow jones and also in the s and p and of course in the russell all of those are giving signals that the market is being distributed it's not as easy as you might think now we've been asked to take a look at the crude oil market i want to get this up here because we were bringing this up last night because we had a very interesting pattern unfolding here in the crude oil so get this up here if you like abcd you're going to like this one because it has a bunch of them we've been in a downtrend as you can see we've had these lower tops through here there was your 3a2 off of the high 61% retracement off of this high measures look at the abcd folks to within 10 cents of the exact low in crude oil today that's only rally to borrow a dollar a barrel and it's still down two dollars and 85 cents so it's down quite a bit but at least it's made some type of a bottom in here we're so close to this bottom i'll be really surprised if it doesn't take it out but that's what we're watching here in the crude has some support right in here but that's all it is all you're looking at is multiple abcd there's your first one abc and d right here and then you have the sharper one down the big move down rally up to the 61% retracement which is 3a2 of the high from here and down it comes right to that level the next thing you want to watch for is the 3a2 off of this move right here which would take you up into this area here which would get crude oil unchanged so watch crude oil up around that 71 dollar a barrel if we get there over the next uh the next few days so that's how crude oil looks to us right now if you remember we had mike more of more analytics on on friday suggesting very strongly that this thing was headed down and you can see that's exactly where it's going we're going to try to have mike on again later this week to talk to us about these uh energies because he has got a handle on it that is uh really quite nifty and we want to take advantage of all the information that he has now this next chart i don't really i'm not i'm not into this type of thing but because of the chart and someone asked me about it i'm going to bring it to your attention this was a hold on i'll get this up here so you'll be able to see it this is about populations folks and i think these uh it comes from the un population and it's from the economist magazine and what it's showing you is that the united states is experience a period of expanding populations but you can see here idly uh japan and many of these other countries china population is going down now it's a boys and girls i am not a rocket scientist okay i'm from tarot indiana i was in the fifth grade for three days but i finally made it through but all of a sudden you're telling me that the united states is the only country where everybody wants to do maca maca sue and everybody else wants to go to be a uh celibate in a in a uh in a convent hello operator i don't trust this thing from the economist uh very much at all so i i don't i mean i understand uh china's population going down but remember they've taken the restrictions off folks it used to be one child only now you can have two or three children in china there's no restrictions so i really am i don't know the source well the source says the economist but the person that sent him he asked me to discuss it and i said it's only about five levels over my pay grade and as you hear me talking about it you can see why i don't understand it you know it just doesn't make any sense i mean breeding in the united states is going up and breeding in these other countries is going down especially idly i'm italian breeding is what we lived by over there back in the days of rome and all those other years that we were king of the hill which was quite a ways away okay now let's move over and talk about one other market that we've had several questions about and that is the uh the corn market we've had a corns up about 16 cents today the weather is getting bad here's one of those situations where we were able to look at corn when it came down stopped exactly at the 61 percent retracement here at 492 we bought it we rallied 30 cents we took a profit and then we tried to buy it back we missed it's going up another few cents but we were able to buy the soybeans and soybeans moved another 45 cents in our favor today we took a nice profit in that one too but remember this is the beginning of the growing season now we're in the middle of june and the reason why now you see and corn for the first time in a long time we're making a 382 retracement it's taken nine days to get there so there should be a little resistance up here in this area of around 650 where we're trading now in the december corn which is the new crop it's also you can see it's a perfect a b cd move right to the downside okay so that's what we're paying attention to very very important okay all right now the next question that someone asked about was the wheat market and this is the one that uh is moving a little bit higher today this is the hourly chart we were assuming we might get gift and see the market come down to our level and of course that did not it's gone it's gone higher up into this area right now we still have a chance forward to get right down here we've got a call from mike in niagara and what's going to help you with mike yeah hi thanks for taking my call i wanted to look at the spy chart on the daily or actually maybe a longer term maybe the weekly and i was just wondering do you see um uh like uh you know a b to cd um extensions to 440 oh yes it well it just it's just as clear as the nose on your face i'll get this up here take a look at it if you like the the thunderbolt we do the thunderbolt measurements uh i was falling i was falling another guy and he had 437 then he had another a b to cd to 440 could you demonstrate it well i can't tell from his chart but all i know is right where we were were we closed on friday we're up a little bit today we're still in that same zone we've not taken out the highs of friday yet in the cash s and p so it's still setting exactly at the 61 retracement we're going to probably close above it today but tomorrow we're going to find out whether it'll do it or not so i hope that answers your question mike okay okay we'll be right back folks 877-976648 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 basal 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 and stock prices get the opening call newsletter by basal chapman in 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 are you looking for a way to consistently add winning trades to your portfolio tom o'brien is here to help tom o'brien has been successfully trading markets for over 30 years a frequent contributor to TD Ameritrade network and CNBC tom o'brien founded tfnn over 20 years ago to help educate investors just like you tom's daily market newsletter market insights is published every morning when the markets open to give you the competitive informational edge you need to succeed these newsletters are packed full of tom's advanced technical analysis and are geared to deliver comprehensive strategies for a successful portfolio get tom o'brien's newsletter market insights today and try all of our products and newsletters 30 days risk-free with our money back guarantee at tfnn.com tfnn educating investors biotech is booming but for how long whether you think the biotech bull has room to run or has run its course trade lab u or lab d directions daily s and p biotech three times bull and bear ETFs visit direction investments.com slash biotech today an investor should consider the investment objectives risks charges and expenses of the direction chairs carefully before investing the prospectus and summary prospectus contain this and other information about direction chairs to obtain a prospectus or summary prospectus please contact direction chairs 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 sophisticated investors such as traders and active investors distributor 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 okay folks i posted the chart of the nasdaq which is the big daddy rabbit that's running the whole show and remember when you're looking at this you're looking at you know it's like we say you know seven stocks out of the 500 s and p now the nasdaq this is the nasdaq 100 this is controlled by 10 stocks those seven that i had plus three others which i'm not sure what they are but that's what's happening now you see that we've closed substantially above the 61 percent retracement here in the nasdaq and given the news i'm surprised it's not trading up here which we might be later on this week but the news is incredibly bullish every day all day long in bloomberg it was one thing after another on you know ai and all the wonderful things that are going to be happening with robots and everything else which i'm sure that's going to be the case but uh you know markets don't go up forever now we were talking to mike in um on niagara falls here and let's just just take a look here at this chart while we were chatting with him i pulled it up and i wanted to show mike where we were as a friday and i want to get this up here and you'll see um we closed at uh 430 199 uh almost exactly on the uh bibonacci level you can see it right here and even with all the stuff that's going on today with the market jumping around uh going straight up uh you'll be able to see here that this is what it's done here today we haven't even taken the high out of friday now we probably will because you know we gapped up and backed off a very very tiny bit and then we're still uh heading higher but this is not a breakout to me i mean these numbers with these abcd patterns telling me that we're in this zone here i can't tell whether it's going to be the exact higher low nobody can tell us that it's all about risk control folks that's really what it's all about i'm you know well i'll tell you what i had a phone call today well never mind i guess i probably shouldn't mention it well i guess i should a young man called me and said gee i really like your work he saw one one youtube video is all he saw and then he's he's only a very young man he's only 22 engineering type degree and stuff and uh said he was really interested in it and say well i have sent a copy of the book and and i said you know i'm going to do something different right here and i tried to tell him i said let's reverse places i said you're calling me a man it's going to be 83 here pretty quick and uh you're asking my me my opinion what would you do if it were reverse and i was calling you and it was 1959 and someone said to you this is the way you want to start looking at the world through the world of finance okay that's how i got started doing this now the first few years i never had any rocky periods until you know 1974 i mean it was a it was a e-coupon ride all the way all i tried to tell him was is to take that book trade what you see and then also he was so excited he actually bought the floor traders handbook which to me is probably one of the best investments you can make as it proves emphatically without a doubt the odds of the abcd pattern working in your favor okay better than 60 and the payoff is usually two to three to one and i said that'll do that for you and if you look at some of the things that are also in there like uh standard deviation and where the means are because that's where these algorithmic traders make their moves it'll give you a really big edge so he said yep i'm going to do it so i sent him a couple books that i wanted him to read the trade what you see book and then also the essentials of trading which is a compilation of two years of me writing for gosh i can't even remember the newspaper it'll come to me in a moment anyway um market mavens and uh what i did was i'd write a little a little one page essay about what i think about each day when i come in to start to trade and the first thing that i look for is i look for a pattern and i ask myself to question can i make money off of that pattern and if the answer to that is yes i'm going to watch it closely the second thing is i ask is how much is it going to cost me in dollars to see if i'm going to be right on that and if that cost is under a thousand dollars and that's on the really wild stuff like gold and crude oil and the s and p i'm going to take that trade all day long because i know the abcds work more than they fail that's all i need to know and i mean i've been doing this so long i mean you can sit there and argue with me all you want but it's not going to do any good because i've emphatically proved it to myself and with the floor traders and book we did 30 000 trades you know uh what do you do automatically and looking at you know 15 minute charts and that gave us the idea of where we were with abcds and that's the edge now abcds don't work in one type of market folks and that's the market that is pretty much like what happened here to this stock that we were looking at just a little while ago planet here let me show you why this is an unusual situation because what happens is look how the market explodes you see when markets explode like this they come out of this like a rocket ship that's the first sign that the abcd is going to have trouble because when you see that explosion like that it's just like if you were you know watching a ball drop into a swimming pool if it's a little tiny ball it doesn't weigh very much it's not going to cause many waves but if it's a giant cannon ball or something like that it's going to make a huge wave and that's what you're looking at is when that explodes out of there those are the danger signals behind the abcd the first one is the gap you can see it here and the second one is the really wide ranging bars that just keep going and going and going and the third thing is it can't even make a lower low than the previous day i mean look at this all the way up no lower lows than the previous day those are three major things that if you watch those they'll give you a really big advantage now most of the time it's going to be doing the abcd look at this back here how easy it was abcd abcd there's your final bottom there's your abcd leg right here and then you make another abcd here the gap you can see you make a gap here and look look what happens when the market finally finally makes a correction it stops it stops going up and takes out the previous day lows for the first time in you know half a dozen days that's telling how something's happened something different now we had something like that happen today that we've been talking about all last week and it's something that everybody's involved in you know what that is boys and girls please larry tell me that you have it and you do i'll give you a hint live cattle let's get up here folks this done exactly what we thought it was going to do and nothing mysterious mysterious about it there's your big run up okay there's your first 382 retracement right here which is so far been the high of the day if that's correct and we're going to be following it here the rest of this week if we get above here it's going to be wrong but if we're right it's going to be an abcd down to this level right here so what are you doing you're risking four hundred dollars to make one two three four to make 1400 three and a half to one that's the odds that you want to have folks that's what the odds are supposed to be you got your abcd coming down to that level so we're going to be following that along each day here so we can have a little bit of fun doing it remember our guest tomorrow is going to be paula web douglas mark's widow and then on friday we're going to have the wizard himself norm winsky and hopefully we're going to have stan harley later this week we'll be right back folks if you're looking for potential trading setups in the stock market then rocket equities and options report is a newsletter you should try tomyo brian 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 basal 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 get the opening call newsletter by basal 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 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investors we have exciting news tigers this june tim orde of the orde oracle will be hosting two webinars providing insight into his renowned market timing methodologies on june 8th tim will delve into the smp 500 teaching sentiment indicators identifying market bottoms and divergence and so much more on june 15th tim pivots to the gold market taking a look at cycle analysis ratio studies advanced decline indicators and other important tools for analyzing this sector sign up today on tfnn.com tfnn educating investors 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 okay we're back folks and i believe mike is called back mike are you on the line yeah hi i know we're coming to the end of the show quickly the volatility we're seeing today could this be attributed to the future's rollover from june to september not really no that's started at last wednesday right so maybe today's like the last day of it or no no that that that that takes care of itself no that's that has anything to do with it's basically the nasdaq stocks that are making it go you can see the nasdaq keeps you know going higher and higher which is not unusual because it's in the news but no that rollover means nothing that that's just a natural function of the market it may once in a while but not this time this is just very really what what happens to the threat of pitch and s and p uh downgrading uh doing a credit rating downgrade on the u.s treasures what happened to that nothing everybody didn't think meant anything because if they've done it before nobody pays attention to it because in 2011 it tumbled down like in three after it's like three trading days or just a nasty nasty sell-off yeah and uh uh remember it vividly so like um uh nothing to example why don't follow the news like russian invasion and russian ukraine war like like it has no absolute i don't see any impact on the market that's why i'm a technician mike i only look at the market if it goes up the bars or go up if it goes down the bars go down that's all i need to know i don't care why uh if you start thinking about why mike you're going to go crazy trust me i've been to crazy political risk uh factor into the market here i don't know rollovers here i don't see the the credit rating uh the threats on the credit rating downgrade like that's correct none of it means anything i agree with you hundred percent there okay all right all right i hope that helps my friend thanks for calling in by the way i really appreciate it okay guess what we'll see you tomorrow folks of every day in an attitude of gratitude and may god bless