>> bristol-meyers. get you done. >> i'm melissa lee. see you back here at 5:00 for more "fast." "mad my mission is simple, to make you money. i'm here to level the playing field for all investors. there's always a bull market somewhere. i promise to help you find it. "mad money" starts now. hey, i'm cramer. welcome to "mad money." welcome to cramerica. other people want to make friends. i'm just trying to save you money. my job isn't just to entertain but to educate you. call me at 1-800-743-cnbc. or tweet me @jim cramer. close watchers of "mad money" know i'm not a chartist. but i do play one on tv weekly. show you technical patterns that

can predict the next big move for stocks. given that i base all of my work on the fundamentals and not the shape of the charts the off the charts segment is antithetical to my anti-stock picking methods. but i know your feedback that you're interested in this analysis and it eat getting a lot of people involved at the right level say. not for a minute as i explain in "get rich carefully" where i devote a whole chapter to charting have i become a chartist myself. single out stocks to highlight and teach about after studying the fundamentals, the research, the annuals, the sectors and i overlay them on my broader world view at the moment. chartists can care less about this stuff. they often don't care what the company does. i wonder if they can do their jobs with the company's names blacked out. in fact, i am sure they could. some of them hate the distraction of knowing what you know about a company for fear it would bias them against the

stock's chart. i stilt rely on the individual work of the individual technicians to learn techniques i can teach you. that's why tonight i am picking the best of the best charts of some of the best technicians we have worked with, exploring the patterns that have become reliable to the point i'm pretties a astonished at how accurate they can be. that's why i started every saturday morning for the last 30 years reading the standard & poor's stock charts, now on electronic distribution. they contain hundreds of charts. i match those charts with the patterns i have learned over time. i then go over the research available for the most winning of the charts and they become segments that you see later in the week. why do the charts work? people always want to know. first, you must consider they want as if they're footprints at the scene of a crime. these footprints trace out what big money managers are doing with their buying and selling of

dollars. the chieftains know more than others including you and me. the charts of where their money goes, the charts of the stocks put together clues that the big boys leave. second reason to care, there's a remarkable self-fulfilling nature of charting stocks. so many professionals take them to heart, that they'll simply avoid stocks, more predictably terrible stocks and that are pressing positive moves in the past. don't i know it. when i work with karen cramer, she would look at the charts each morning, seeking ones that stood out as potential breakouts and break downs and then had my research the ones with most predictable patterns to get a handle on what's going on. we got some of the best ideas from the brainstorming sessions. a true and successful melding of the fundamentals, to produce excellent short and long term results. all of charting technical analysis starts with the

pictures of not only the individual stocks but what are known as the internals. patterns about stocks in the aggregates that give you clues. for years ever since the great recession that showed the inherent weakness in the financial system, there has been tremendous skepticism about any advance of stocks. well, i believe the systemic risks have been reduced, each rally creates a worrisome set of risks. you're coming in at a level that could turn out to be let's say too late, to high. and you will lose money either way. sell sell sell. good technical analysis including analyzing the indicators that help you determine the overall direction of the market. more important than ever given that so many stocks are influenced by the tug of the s&p 500 stock futures. sometimes everything hinges on putting together the numbers

that this show the true market strength. they're looking for confirmation. of a move to detect the legitimacy. i think they're incredibly important to the safety of a move. they need to be explained closely. the most important and obvious confirmation -- let's say the dow jones average hits a new high. that high will not be sustainable unless the dow jones transportation index hits a high or confirms the breakout status of the dow itself. the dow jones transportation index is a measure of commerce, tracking planes, trains, freight, come on, isn't that a good gauge? if both the industrials and the transports hit new highs i often tell you that the move is legitimate and it can be trusted. it is real. this is some of the oldest technical work, getting back to charles dow. the founder and first editor of the "wall street journal" who created the eponymous dow theory. you often hear that i like how the transports are acting. that's because i'm trying to see

if the move has staying power in order to bless it. i look at the banking index that's important to me. the housing index, i look at the semiconductor, and the rth. i like to see the indices move up in sync before i bless a market move for you. you get all the indices rolling higher, you have to put the maximum amount of chips on the table. oh, boy, but is the inverse true. if we get a move a move up without confirmation from the majority of the indiss the whole rally could be a fakeout. >> boo! >> and can't be trusted. the classic example if you went back to the move up to record highs before the great recession, you won't notice something pretty incredible if you go back and study it. you will no edisthere was no -- there was no participation between the retail and the techs. and it did much better than the fundamentals.

what are the other internals i look at? i analyze the advances and declines, figuring out whether the rally is too concentrated. i like a market with good breadth or a lot of participation. and remember, it isn't easy to get on the new high. first the company has to be doing exceptionally well and the sector has to be strong. third, larger force is the federal reserve, interest rates, geeio political tensions have to be successful to get on the high list. that list is rarefied territory. you run the gauntlet. you have a good stock. a stock i want to buy on any pull back that's market related, not substantive as a stock. hey, if there are a lot of stocks in the new high list, that's actually a terrific sign. so here's the bottom line. you may not be a technician, but you need know what the charts are say and and you need to verify a real move or a knowny one. stay tuned. we'll go over a whole host of predictive patterns that suffuse everything we do around here. not just on off the charts

tuesday. but in stock selection every single day. jim in michigan, jim. >> caller: jim, hi. how are you? and thanks for taking my call. >> of course. thrilled that you called, what's up? >> caller: i've got a question for you. in the segment you were talking about secular stocks. could you define for me once again what is secular stock? and maybe give me an example or two? >> certainly. this is atern that goes -- -- it gets thrown around. secular is a stock that does not need the gross domestic product of the world to increase in order to beat the numbers. some of the classic secular grower stocks would be the biotechs. some of the retailers that have terrific growth. i'll give you an example. chipotle. that's is secular grower. it doesn't need the economy to grow stronger.

so use that as our model in our heads. gary in california, gary? >> caller: mr. cramer, booyah to you. gary from california. my question regarding dividends in a down market, sir. if you're accumulating the stocks, is it better to reinvest them in the down market or take the cash and invest in other -- >> we know that power of compounding is an amazing thing so stick always on this show, i know it sounds pretty pedestrian. but we are always going to opt in favor of reinvestment because fortunes have been made through the power of compounding. i have to go with that regardless of the near term consequences. fundamentals oh they're -- tonight i'm bringing you into the world of mastermind chartists so you can see the whole pick xhur behind a stock's

moves. we know that charts are important but what technical tool can help you detect floors and ceilings? i'm reviewing it. how can you tell if a company is right for a pull back and mixing patterns isn't only for fashion. i'm highlighting the patterns worth banking on when it comes to investing so why don't you stick with cramer. >> announcer: don't miss a second of "mad money." follow @jimcramer on twitter. have a question? tweet cramer, #madtweets. send jim an e-mail to madmoney@cnbc.com or give us a call at 1-800-743-cnbc. miss something? head to madmoney.cnbc.com. welcome to today's working world. companies everywhere are working harder and investing more.

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tonight we are offering the best of the best of technical analysis. a one stop shop of everything you need to know to augment your investing with the help of the best chartist in the land. let's work on the province of the best chart working on the show, spotting bottoms and the

ceilings to exit or sell. when you pick individual stocks you're being from -- you're betting from moment you buy them they're going go higher. how often do you do solid fundamental work on a company and try to figure out if it's the right decision to pull the trigger because your homework is finished. and then, well, it turned out to be a terrible time and you're buying oblivious to the stock. maybe it's not the right moment. after all the work i have done on the off the work segments you're being short sighted after you have done all that homework. before you put the buy order in, it's not the right time. in fact, i would consider looking at the chart of the stock as part of the homework. get that in your head. get it engrained into your thinking. sometimes finding bottoms after long declines can be incredibly lucrative. let's go back to the bottom of 2009. i had a sense that the velocity was lessening, i heard the late

great nate hanes make that call. and part of the street.com family, sometimes noted as being an aggressive bear had turned positive. he was saying we were in a generational bottom. but i was still skittish about picking individual stock to recommend to you. so i was looking for a situation that seemed about as bulletproof as i can find. i came up with at&t. the phone company. it had so much going for it. you have to go back in the way back machine here, but it was included a smashing rollout of the apple iphone which is going to produce record profits as at&t took business from the apple list competitors. had a dividend at a yield at 6.2%. the yield was much higher than any stock in the dow, the dividend was back in the cash flow. still, the stock kept plunging every time i thought it had a firm footing. no, i waited for a few days.

and then decided that at lot of the level could hold. i checked with a chartist, i brought in four chartists. amazingly they all agreed they had found a strong foundation and it was worth considering for an investment. so take a look at what attracted them. take a look at this chart. first, all four technicians agree that at&t had established a climax low, at 21. back in the tsunami of selling that was this period. okay, just got to understand that we are at one of the moments that was just so hideous. you can see the big lift in stock and then, well -- i don't want to give away the story. that's where lots of sellers had capitulated. they capitulated here. but they had a floor at that level and they looked at the volume and all the sum of all the transactions had expanded in excess of the trading.

there's a normal period of trading, look at that. that's a sign that the sellers had exhausted themselves. the volume levels showed most of the portfolio managers wanted out of the stock, they had fled it by now. at the same time, the buyers step up to meet the supply with the level of the stock. as long as sellers overwhelmed buyer with the base, no base can form. a climax is a sign that the potential sellers who have been holding on for some time are finally giving up en masse. big giveup. remember, technicians don't care why that might be the cause. they're just monitoring price and volume. when they see that volume gets larger, but the stock doesn't go down, that means the stock has found the floor so now time to buy. it's safe. that's where the buyers are at last equal to the sellers in the

power to determine the direction of the stock, and that's a form of equill lib ree up. and then the stock takes out resistance to overhead. not just to look at the closing price an photograph the previous weeks and close, they don't look, oh, that looks good or bad, that's not helpful. because it doesn't yield a true picture of the trajectory. instead, it's a moving average. a moving average is formed by taking the closing prices of the stock over a period of time. then adding those prices up, and then dividing those prices by the days and particular measured period. we talk about this -- i'm breaking it down. you can measure it over a ten-day period by adding up ten days by dividing the sum by ten, plotting the number on a graph. each subsequent day you add in the new closing and drop off the earliest price to get the new ten day measuring period.

the technicians i checked in on at&t they selected a 200 day moving average. they noticed that at&t had found a floor at the $21 level, if the stock had bounced off repeatedlily, it kept failing, meaning it couldn't get through -- failing to move up above the 200 day moving average. they had all done the same amount of work. that created what looked to be a ceiling. so you had the ceiling, the 200 day moving average. they just felt that every time it got there, the stock was tapped. then at last, at&t cracked through the ceiling of resistance, and that's the 200 day moving average. that was the signal. that was the signal that at&t could generate a great trade or investment. the old roof became a new floor. every time the moving average went above the old roof it would create the possibility of a new floor and then the stock would come back and test that floor and it held.

the stock didn't break the new found base. in other words, it didn't go back to the climax low. it held. looking back at the beautiful bottoming that we see here with at&t, it now seems like child's play, doesn't it? of course. at that moment it was anything but easy because at the same time the technical analysts were saying the bottom is in, it was time to buy, the fundamental analysts were scared out of their wits. they were all scared to death right here. some were worrying about pension obligations that can cause the dividend to be slashed. something was wrong. but it scared the heck out of me. remember the people in the stock for the dividend. it gave us a launching pad to launch off into straight loin of the 30s. so here's the bottom line. when you see this kind of reliability pattern, at&t demonstrated, despite what the fundamental analysts might be saying you have to use the discipline that these technic n technicians give you to take advantage of the fabulous buying opportunity that might be overlooked after the market

takes a real shellacking. never take it down, went way up. after the break, i'll try to make you more money. mr. cramer, absolutely love the show. >> we really appreciate you out there, man. >> booyah to my kid, aidan. they're in elementary school learning so much from you. >> booyah, mr. cramer. >> i know you hear this all the time, but thank you so much. >> this is my best year in the market. >> i want to thank you for your, you know, looking out for the regular guys out there. >> i am trying to teach people to be better investors and i'm doing my darn best. that's the goal here. >> great to hear your voice and know you're there for us.

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welcome back to our special technical show. the next crucial theme for tech nicks, whether a stock is overbought or oversold, maybe ready for a bounce. you determine that by charting the higher closes. the relative strength index measures the direction the stock going and the velocity of the move. we like to match the individual stock to something else. perhaps the relative strength of the sector or a larger index and measure the price action historically. we are looking for anomalies, where strength stands out. because that's the sign of the pending move. perhaps the momentum switch if we had read the research on the stock. for relative strength chart work, i turn to langen and collins. many technician vary the length of time over which they measure relative strength. lange and collins use ten days or two weeks to get a relative

bead on the stock they're looking at. they're looking for a pattern that reverses the action, because that's a sign a breakout or a breakdown might be upon us. they love strong relative strengths situations but they also like to time their buys after pull backs. get that better entry point. they really care about bases. typically when a stock is overbought it is ripe for a pull back because ones with many buyers, tend to snap back after they have gotten too far away from the longer term trend line. the inverse can be true too. a stock can fall so far, so fast, you should expect a snap back because it's technically oversold. you hear me use these terms. we see these patterns constantly. they're reliable indicators that a change in direction is about to occur. these are terrific action points, people. if you find the stock is overbought i tell you to wait for a pull back. that almost always comes. that's because lange and collins have done enough chart work to know that the vast majority of

stocks overshoot directions and then retrace some of them back to better entry or exit points. retracement is not always negative. periodically some stocks are so strong, they break through all of the ceiling of all traditional significant measurement periods, then stay overbought perhaps for weeks at a time. defying the historical trading patterns that have trapped them. they defy the notion of the old gravitational pull and can't be contained by the various ceilings that overbought conditions usually bump into. when you spot highly unusual moves, you know what? you may have to strap yourself in to get a real moon shot and let's look at this one. this is what i mean. this is rare. but when it happens, it's big money. we saw it occur in july of 2009 as dan fitzpatrick pointed out to me using the statastics oscillator.

the summer the stock of las vegas sands one of the largest casino companies had been repeatedly stalled at the ten buck level, falling every time it hit, boom boom boom. you know? just not working. okay? but, when the bulls finally broke out of the corral, it pushed through instead of recovering. that's very rare pattern. you see this thing? it just stayed overbought which told you good things were going to be ahead. it never retreated as you would have expected. buyers wouldn't quit despite the stock being overbought and that is a sign the strongest kind of positive move in the book might be taking place. and at any given time i expected a pull back but you had the gigantic long term overbought. this proceeded to two from $10 to $48, pretty much in a straight line with no substantive pull back to speak of. overbought condition that can stay overbought is a golden

opportunity for a huge move. look, right back to being overbought again. remember, i like to marry the fundamentals with the chart. so i'm not too dependent on the pictorials. why was it overbought for so long? that's when the chief locust of profits went from being las vegas to macao. the only place in china where gambling is legal. the change transformed it into the international power house. might as well have been named macao sands. the charts told you about the transformation, well ahead of the wall street analysts who were dazed we had a horrendous decline to begin with. the chartists is thinking there's buyers lurking. volume is another one to spot pivots. volume is a lie detector, okay, telling us whether a move is for real or not. when there's a small move on volume technicians ignore it. if there's heavy volume they

drill down laser like to see if it's a precursor to something bigger. chartists are at all times looking for accumulation on big volume or distribution. that's a synonym for selling of the stock and that can telegraph a big decline. they measure it by something called an accumulation distribution line. when it is arcane charting of whether a stock closes higher on greater volume or versus lower on low volume, any brokage house will offer this on the website, it can go against the grain of conventional thinking. they go against the fundamentals sometimes and sometimes they're right. we saw them being right in monsanto. in july of 2012. this was an unbelievable one i got wrong. i didn't care for the stock at the time, i didn't like gmos. but tim collins said the

accumulation distribution line showed while they had down days, you had low lines here. on the heavy volume on the up days. that's a sure sign that more money was flowing into the stock than out. collins noticed a persistent accumulation or buying pattern or selling pattern convinced them that large funds were building positions to own the stock long term. not to it for a quick move. it turns out what i didn't see, what i was so confused about was that monsanto's stock had started to be correlated with the price of corn. which was going higher back then. because of new found demand for ethanol and government price supports. i was concerned about near term earnings and i wasn't thinking big picture but the chart showed you big picture. the work of collins told you not to fear, that something bigger was developing. he have dead right -- he was

dead right and the stock turned out on to be a big winner when corn shot up taking monsanto's stock up with it. they new the relationship, you were able to piggyback off their research by using collins' work. which isolated the stock. i got smoked but he saw it. bottom line we need to look at lots of different indicators to spot big moves. like distribution, overbought or oversold levels to those of us stuck trying to spot the changes in the fundamentals that are further out in time. powerful moves do allude those in the stock market. let's go to dan in illinois. dan? >> caller: thank you for demystifying the market and helping us make it accessible. >> i want everybody to

understand their money. that's what i want. how can i help? >> caller: thank you. i wonder if i start with a small position in a stock, a company i like and the stock keeps going up, the most it comes down is maybe 2, 2.5, how can i get a more sizable stake? >> you missed it. that's one of the things, my discipline will cut off the downside which is far more important than cutting off the upside. and if you bought a position in a stock and it kept going higher, you didn't get any more, well, it's a trade and you have to take it. i know people don't want to hear that, but when you violate your basis and pay up, i can show you for years and years for my charitable trust i have done the work. it is almost always a mistake. chartists spot big moves and that helps them stay ahead of the game and no now you're ahead too. head and shoulders is not

only for dandruff, but i will show you how to use it for making money. and if you're a sharks, you don't want to miss my take on the two. and i'm taking your tweets. go ahead and tweet me and i might answer your question on air. stay with cramer. jim cramer, you're one of my heroes. >> i look forward to your show every weeknight. >> thank you so much for helping beginning investors like me. >> when you talk about the market, i just believe that you're spot on. >> oh, i love it. every night we watch you, i have learned and earned.

it's a brutal, full contact sport. >> fru from the time the whistle blows -- >> to the last play of the game. >> markets absolutely getting hammered today. >> i know it's not easy but i promise to keep fighting for you! >> jim cramer. leveling the playing field for all. >> the road is a tough one. but the payoff can be your greatest win of all. >> join "mad money's" training camp weeknights. we have learned a lot

tonight about the key terms of technical analysis, now let's look at some of the individual charts that many of you find fascinating. even as some of the patterns, they almost sound silly. as if they're mimicking letters or geometric shapes or even body parts. i learned not to ignore one of the most simple but the most reliable patterns out there -- the dreaded head and shoulders pattern. >> the house of pain. >> and my charitable trust bought alcoa took a giant bath in red ink because of the ill informed -- or maybe early buy. remember, i like to do mea culpas on the show. you can learn from my mistakes. we had correctly become enamored with the ceo, making it less dependent on metal itself and something it solidified when it split into two separate companies. it enjoyed a healthy run in

2010, rising from $13 nice rise up to $19. not long after the stock hit $17 it dived back to $15, then reversed and went back up to $17. then went up to $18 on the eve of the quarterly report. i thought the quarter when it was announced was a fine one, beating both the top and bottom lines. most of the time that's all you can ask for. then the stock dropped down to $16 and change on the news of that better than expected quarter. a few days later of, there we go, back to $17, i felt vindicated, come on. now at the $18 level. so i went and bought more. i went and bought more right there. could i have been more wrong? i don't think so. because that 17 to $15 dive

represented on the chart as a point "a" and "b" then follow the run to "c" 18, back to 16 "d" and 17 "e" do you know what that is? that's a perfect head and shoulders pattern. yeah, just like a human's head. that is it! that is the most frightening pattern in the entire chart book and alcoa had traced it out. just when i thought we were out of the woods. what was happening during that period that the head and shoulders pattern flagged. europe and china began their slowdowns and started the turn that the ceo had started to execute. still, it was aluminum. over the course of the next few years, he made them less dependent. one that cost the trust quite a pretty penny. mea culpa. one of the things i admire about technicians their intellectual

consistency. an inverse head and shoulders pattern signals the opposite. at the beginning of january 2013 lots of people thought that the economy was taking off and investors were running for the food and drug stocks the ones that you don't need a strong economy. and they were headed to the cyclicals, caterpillars, the kind of rotation is the death nell for stocks that go higher only when the economy is slowing. however, tim collins said you know what, jim, you ought to take a look at pfizer because the stock was tracing out a reverse head and shoulder pattern. they would be precisely the kind of company i would shun, i would normally touch it then we the economy is speeding up. but look at this chart, you can see that pfizer traced out a left shoulder through october, and then started to decline aggressively in november. the stock bottomed to form the head. then december it caught a rally and then a pullback to create the right shoulder.

the key with this pattern is the neckline. the line that connects the head to the two shoulders. when a stock breaks out above that line up, you're about to witness a big big move. pfizer was at $25.80 and collins predicted it would be in for a monster run. i didn't trust this one whit. i thought, come on. i knew it was a bad stock. but collins said rotations smoeations. you want to close your eyes and buy the stock because something big was going on that could make it buck the prevailing trends. i didn't think it was conceivable, but he was right, i was wrong. the stock jumped more than 10% after collins told me to buy it. what caused the move? soon after collins flagged this bullish reverse right here, reverse head and shoulders pattern the huge drug company

decided to spin off the animal health division. it was a shocker, into the new and public traded company in a move that created $15 billion in value. who knew? the chart did. here's the bottom line. patterns matter. i don't know how confident you are in the situation, sell sell sell sell. at least some of it, please. when you see a reverse head and shoulders developing even if it makes no sense when it comes to which stock it's happening to you have to consider buying some. that's how powerful these moves are and the chart work on these two patterns is vindicated far hour often than the skeptics would think possible. stay with cramer. cramer, you are super. you are awesome. >> i'm a first time investor. >> thank you for inspiring me to get into the game. >> your show is the best. i'm so glad you're on tv. >> you have transformed me. thank you, cramer.

we have run the gamut of technical trade tonight on the special show, including the head and shoulder and the reverse head and shoulders, but those aren't the only ones to tell us the truth when the fundamentals give us little insight into the direction of stocks. one chart type we have come to love on "mad money" is known as the cup and handle pattern. we have seen it so often it's so reliable, i have used it to keep myself in stocks that i might have otherwise been turned off on or shaken out by. take the stock of cramer fade domino's. we got behind the pizza franchise back when it traded down to 10 bucks and then thing you know the exhibit had some sideways action. it began to drift down on no new news. i hate these kind of churning situations because i'm paranoid enough to think i don't know something and other guys do. when the company isn't talking, at the that's when the

technicians are most needed. so i went to ed ponce, i asked for his help to divine if a domino's moment had come and gone. take a look. here's what he sent us at the time. when we reached out to him the stock of domino's had begun to drift back up. you know what? we would have blessed it. telling oyou to sell. maybe ring the register. take the big gains for the viewers so tempting right. there ponce told us to do opposite. that little advance back up was the sign that all was well and you had to load up with domino's stock. he said it was a special moment. he was anxious to show us why. with that return back up to 36, okay, domino's was tracing out a perfect cup and handle formation. that's right. a pattern we had found as reliable as the head and shoulders in the predictable.

you caught the begin of the cup at 36 bucks, then the slope down to $28 was the base of the cup was. i was nervous right there. all right. he told me not to be. the stock climbed back to $36, on the right side of the cup and then a 37 -- a little sideling to sidle to 37, 38 and that's the beginning of a handle that almost always signals a much higher move. it always goes like that. very reliable. sure enough, ponce's work nailed it. domino's proceeded to double and then some. it turned out that the stock was consolidating, ready to power higher in the next big move. this was positive action. domino's right there what they were doing they were embracing technology. the web and the cell phone, facebook, eliminate order takers, let the customers place orders directly via the net. we would have left a double minimum on the table if we hadn't gone to ponce. i thought monster beverage

couldn't go higher. i kept hearing that red bull was crippling them and the possibility of the regulatory intervention in the business. check this one out. he said that for months the stock of monster had been bouncing off the 100 day moving average. the blue line you can see. every time it looked like it was going down, right, it rebounded. look at this. rebound, rebound, rebound. he said that it was tracing out a series of triangles. also known as flight pattern. you get a flat ceiling of resistance and the upward sloping floor. see that? when it hits the new line of resistance it punches through. when you get the short term consolidations that are preludes to a continuation pattern you don't have to worry about a stock running on empty. as a matter of fact, you had to buy this thing with both hams every time. proceeded to jump to $79, and

those who would have been less negative, had they known about it. they were worried about the government intervening. monster is tied up in coca-cola. and in a deal that rocked the energy drinks and they're here to stay. once again, i would have been shaken out of this stock's move if it weren't for ponce and his chart hand holding. a lot of variations of the triangle and pennant formations. look at this chart, collins identified this as a big move up. citigroup, everybody hated it in june of 2010. where the lowest kept going higher. he loved this right here. this is what's known as a wedge pattern. it's as reliable as the pen nna and triangle. and we rely on carolyn boroden. you have heard of the fibonacci

patterns and we like the commodity futures trading commission to examine when too many hedge funds are leading the wrong way on the commodity and we have to veer in a different direction for success. the bottom line -- technicians and fundamentalists can coexist, make peace with them both and you'll make a whole lot of money than if you're blind to one or the other, and certainly to both. "mad money" is back after the break. i'm jerry bell the second. and i'm jerry bell the third. i'm like a big bear and he's my little cub. this little guy is non-stop. he's always hanging out with his friends. you've got to be prepared to sit at the edge of your seat and be ready to get up.

there's no "deep couch sitting." it's definitely not good for my back. this is the part i really don't like right here. (doorbell) what's that? a package! it's a swiffer wetjet. it almost feels like it's moving itself. this is kind of fun. that comes from my floor? eww! this is deep couch sitting. deep couch sitting!

hey, cramerica, you're look for finding big moves an on twitter what's trending can also tell you a lot. today i'm counting down the top tweets to see what's trending. we have a feel good tweet. thank you for all the good advice, thanks to your good work and saving and investing, i retired at the age of 58. you know what, own a lot of the stocks and the stocks dividend. keep reinvesting. my 19-year-old son wants to save for retirement. keep up the great work. it's boring as all get out, find a s&p index with low fees. once they've put $10,000 aside, then they can focus on individual stocks. that's the rules, i'm not

varying them. next a shout-out, a tough one. don't let the haters get to you, jim. keep doing what you're doing, stay above their pettiness. periodically i get tired too and i get angry and i get a little feisty. but what i like this is my little zone heare. it's nfl, you come into my box, you have to be tackled. i'm not looking the other way. next up, you want new investors to match out before investing in single stocks, 401(k)s, okay to invest? this show is incorrectly known as a trading show where we don't like index funds. we demand you in be in index funds. sorry for the misinterpretation by you. last but not least, excited to have found the @jim cramer show at a young age. it's a load of valuable

information for free. i only wish my mom and dad were still alive because then finally they could say, hey, i told you, jimmy. stay with cramer.

all right. i like to say there's always a bull market somewhere. i promise to find it for you here right here on "mad money." i'm jim cramer. see you next time!

>> imagine a store with no signs in the aisles, a store that doesn't bag your purchases, one that never advertises, where you have to pay a fee just to walk in the door. who in the world would shop here? as it turns out, about 3 million fanatically loyal customers every day. it's called costco... >> i love costco. >> i bought ground beef. >> lawn furniture. >> a television. >> i bought my engagement ring here. >> ...a chain of stripped-down warehouses that's become a sensation at home and abroad. >> [ speaking chinese ] >> but its crowning achievement -- convincing you