tv Mad Money CNBC December 28, 2018 6:00pm-7:00pm EST
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in general iwn small cap over large. >> bk. >> carter mentioned the dollar which i liked long for 2018 and 2019 you might see the shift helping out the commodities lower dollar. >> that does it for us on "options action. see does it for us on "options action." meantime, "mad money" starts now. ♪ 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 and 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 @jimcramer close watchers of "mad money" know i'm not a chartist but i do play one on tv weekly. showing you technical patterns that can predict the next big
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move for stocks. given that i base almost all of my work on fundamental factors related to the companies i study and not the shape of their charts the off the charts segment is heretical and antithetical to my stock picking methods. but i know you're interested and it's proven itself time and time again to get yourself involved in the right level i devote a whole chapter to charting have i become a chartist myself? i still single out stocks to teach ago, the sectors and i overlay them on the broad view at the moment. chartists could care less about this stuff they don't care what the company does i wonder if they do their job with the company's names blacked out. i'm sure they could. some of them hate the distraction of knowing what you know about the company for fear it would bias them against the
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stock's chart. can you imagine? i have become pretty proficient at charting over the years but i rely on the professional technicians to demonstrate on how to use charting and 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 pretty astonished at how accurate they can be you have to call me a long term believer hey, you know what, that's why i have nearly started every saturday morning reading the standard & poor's stock chart and now in electronic distribution they contain hundreds of charts and i match them with patterns i have learned over the time and then they become segments on the show you see later on in the week why do the charts work people want to know. first, you must consider them as if they're footprints at the scene of a crime these footprints trace out what big money managers might be doing with their buying and selling of dollars
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these portfolio chief tapes at large funds often know more than others including you and me. the charts of where their money goes, the charts of the stocks put together clues together that these big boys reason. second reason to care -- there's a self-fulfilling nature of charting stocks. some take them to heart that they'll avoid stocks with predictably terrible stocks and find stocks with positive moves in the past. don't i know it. when i work with karen cramer an inveterate chartist at my old hedge fund, she would seek those who stood out and breakdowns and then having to research the ones with the most predictable patterns to get a handle on what's going on. we got some of our best ideas from the plain storming sessions a melding of the technical and the fundamentals to produce short and long term results. all of charting technical
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analysis starts with not only the picture of individual stocks but what are known as the internals. internals. patterns about stocks in the aggregate that give you clues to the direction of the entire stock market ever since the great recession that showed the inherent weakness in the financial system that's called the systemic risk i talk about there's skepticism about any advancement of stocks. i know each rally creates a really a worrisome set of risks. many of you fear you're coming in at a level that could turn out to be let's say too late, too high and you will lose money either way. sell sell sell sell! good technical analysis includes analyzing indicators to help you determine the overall direction of the market. more important than ever given that so many stocks are influenced mightily by the tug of the s&p 500 stock futures sometimes the tech nicks everything hinges on putting together the charts of the individual companies to create
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comparisons that elucidate and illuminate conclusions about true market strength they're looking for what's known as confirmation of a move to detect the legitimacy. i think confirmations are incredibly important to the safety of the move they need to be explained closely. the most important and obvious confirmation let's say the dow jones average hits a new high. it won't 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 trains, planes, truck, freight, come on that's a good -- isn't that a good gauge both the industrials and the transports hit new highs i tell you that the move is legitimate and it can be trusted. it is real this is some of the oldest technical work dating back to dow who created the eponymous dow theory to validate rallies or defrock them i like how the transports are
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acting that's because i'm trying to see if the move is staying power in order to bless it. i look at the banking indense that's important to me the housing index. i look at the semiconductor index. and the rth. that's that all-important etf that encompasses the big retailers. i like to see all the indices move up in sync before i bless a market move for you. you get the indices rolling higher and oh, boy, but is the inverse true if we get a move, a move up without confirmation from the majority of the indices, the whole rally could be a fakeout and can't be trusted the classic example if you go back to the move up to record highs before the great recession, you won't notice something pretty incred football you study it you will notice there was no participation among the financials, the retailers or the techs. technical analysis got you out of the market before it was too late, it did much better than
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the fundamentals what are the other internals i look at? i analyze theed a skranss and declines, figure out if the rally is too concentrated. i like a market with good participation and i look at the new high and low ratio remember it isn't easy to get on the new high list. the company has to be doing well and the sector has to be doing well the interest rates, geopolitical tensions have to be aligned to make some stocks successful enough to get on the new list. the high 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 to the stock if there are a lot of stocks on the high list that's a terrific sign here's the bottom line you may not be a technician but you need to know what the charts are saying and how to read the internals to verify a real move or a phony one stay tuned and we'll go over a whole host of predictive patterns that suffuse everything we do around here. not just on the off the charts
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tuesday. but in stock selection every single day jim in michigan, jim >> caller: jim hi, hi. how are you? and thanks for taking my call. >> of course thrilled that you called what's up? >> caller: i got a question for you. in the segment you were talking about secular stocks could you define for me once again what are secular stocks and maybe give me an example or two? >> certainly this is an important issue because it's a term that goes -- it gets thrown around. secular or parochial secular growth stock is something that does not need the gross domestic product of the world to increase in order for it to beat the numbers some of the classic secular grower stocks would be some of the biotechs some of the retailers that have terrific growth. gary in california, gary >> caller: mr. cramer, booyah to you. >> booyah, gary. >> caller: gary from california.
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my question regarding dividends in a down market, sir. if you're accumulating dividends on a number of stocks as you suggest is it better to reinvest them in a down market or to take the money as cash and then possibly reinvest that in other opportunities? >> well, you see we don't know when a down phase going to end we know the power of compounding is an amazing thing so we'll stick always on this show -- i know it sounds pretty pedestrian, but we're 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 because i'm thinking long term for you fundamentals, oh, they're key. but technicals matter too. tonight i'm bringing you into the world of mastermind chartists to see the whole picture. we know that charts are important, but what technical tool can help you detect floors and ceilings
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i'm revealing it how can you tell if a company is right for a buyout? i'm highlighting the patterns we're baking 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. shield℠ annuities from brighthouse financial
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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 some of the best chartists in if land let's work on something that's been the providence on the best chart work in the show when you pick individual stocks you're betting from the moment you buy them that they're going to go higher i know, pretty simple concept but how often do you do solid fundamental work on a company and you try to figure out if it's the right decision to pull the trigger. because your homework is finished and then, well, it's a terrible time. you're buying oblivious to the stock. after all the work i have done on the off the chart segments i sea you're being short sighted if you check out how the work looks technically after you do that homework.
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but it's not just the right time since you have done the homework in fact, i would consider looking at the chart or the stock as part of the homework. get that in your head. get it ingrained into your thinking sometimes finding bottoms after long declines can mean incredibly lucrative a good example to the bottom of 2009 now i had a sense that declines and ve lossty was lessening. i heard mark haines make the famous bottom call based on the innate feeling part of the street.com family known as being an aggressive bearer had turned positive he was saying we were in a generational bottom. but i was still skittish about picking any individual stock to recommend to you so i was looking for a situation that seemed about as bulletproof as i could find. i came up with at&t, the phone company. and it's so much going -- it had so much going for it go back into into the way back machine, a smashing rollout of the apple iphone which was going
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to produce record profits. it had an outside dividends when it was 6.2% and the yield was higher than any other stock in the dow. still though the stock kept plunging every time i thought it had firm footing i had done my research i thought it was time to buy, no check the chart. so i waited. i waited for a few days when the stock seemed to stabilize and decided that atlas the level might be right dicey moments like these, it's best to check with the chartist so i did i brought in four. four chartists they found the strong foundation and it was definitely worth considering for an investment. they didn't care about the fundamentals so look at what attracted them take a look at this chart. first, all four technicians agreed that at&t had established what is known as a climax low at 21 back in the tsunami of selling that was this period okay, you have to understand that we are just at one of the moments that was so hideous.
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you can see the big lift 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 right here. but buyers had started to step up to create a base. okay see the extended place they were floored at that level. they arrived at the volume, the sum of all the transactions had expanded to a level far exceeded in trading the volume levels according to technicians showed that most of the big portfolio managers who wanted out of the stock they had fled it by now at the same time, buyers had stepped up to meet the supply with a concomitant level of demand until you got the climax, there were so many more sellers than buyers at each level that they knocked it down with their own seller as well as sellers overwhelmed with their dumping no base can form bad time to buy. a climax is the sign that the potential sellers who have been
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holding on for some time are finally giving up en masse big give up. remember, technicians don't care why that might be the case they're monitoring the price and volume when they see volume gets larger but the stock doesn't go down that means atlas it has found the floor so it's time to buy. it's safe. that's where the buyers are equal to the sellers in the power to determine the direction of the stock that's a form of equilibrium okay that's at&t. that is what happens when it takes out overhead to examine the possibilities of a stock the technicians don't look at in the closing price and the graph that price against the previous days or weeks -- they don't just look and say, oh, that looks good, that looks bad, no, that's not helpful. it doesn't yield a true picture of the trajectory. they use a moving average. a moving average is formed by taking the closing prices of a stock over a period of time. and then adding those prices up
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and then dividing those prices by the days and particular measured period. we talk about this in off the charts but i'm breaking it down. for example you can measure it over a ten day period by adding up ten days with the closing prices and dividing it by ten. plotting the number on the graph. each subsequent day you add in the new closing and drop off the price. the four technicians i check in with for at&t they all choose to use the longer term view they selected the 200 day moving average. even though at&t had found a floor at the $21 level, if the stock had repeatedly bounced off it kept failing, meaning couldn't get through, failing to move up above the 200 day moving average. the data was plotted they had done the same amount of work that created what looked to be a ceiling. so you had the ceiling, the moving average nothing you can do they felt that every time it got there the stock was capped then atlas, at&t cracked through
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the ceiling of resistance and that's the 200 day moving average. that was the signal. that was a signal that at&t could generate a great trade or investment the old roof became a new floor. here's the new floor the 200 day. every time the moving average went above the new average, then the stock would come back and test the floor it emboldens the buyers as it didn't break the new found base, no it didn't go back to where that climax low was. it held. looking at at&t it seems like child's play yet at that moment it was anything but easy but a at the same time the technical analysts were saying the bottom was in it was time to buy, the fundamental analysts were scared out of their wits not one was valuable to me they were scared to death right here some were even worrying about pension obligations that could cause the dividend to be slashed, something way wrong
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but it scared the heck out of me remember the people were in the stock for the dividend that base, that floor gave the stock a lawn ing pad to launch of into the 30s. one of the biggest gains that it could ever give you. when you see the reliable patterns, despite what the fundamental analysts are saying you have to use the discipline that the technicians give you to pull the trigger and take advantage of a fabulous buying opportunity that might be overlooked after the market takes a real shellacking never took it off, went way up after the break i'll try to make you more money what's better than "mad money" how about more "mad money. follow "mad money" on facebook, twitter and instagram to go one-on-one with cramer >> reaction, what other questions do we have oh, i always tell people you have to start with an index fund because i need you to be diversified. >> get more with guests. >> how do you -- >> go behind the scenes with the
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even my hygienist said going electric could lead to way cleaner teeth. and unlike sonicare, oral-b is the first electric toothbrush brand accepted by the ada. oral-b. brush like a pro. ♪ welcome back to our special technical show the next crucial theme for technicians whether the stock is overbought and therefore ripe for a pull back or oversold, maybe ready for a bounce you determine if it's overbought or oversold by charting the ratio of higher closes, also known as the relative strength index or rsi it's a momentum oscillator that measures the direction the stock is going and the velocity of the move we like to match the relative strength of an individual stock to something else. perhaps the relative strength of the sector or maybe that of a larger index we measure the price action historically we're alalways looking for
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anomalies that strength stands out. because that's the sign of a pending move perhaps the momentum switch we wouldn't know if we just read the research i turn to bob lang and tim collins. you hear about it all the time on the show. many technicians vary the length of time over which they measure relative strength. they like to use ten days, two weeks to get a bead on the relative stocks. they're looking for any patterns that reverses the action of the previous period because that's a sign that a breakout or breakdown is upon us they love strong relative strength situations but they also like to time their buys after pull backs get that better entry point. they really care about basis typically when a stock gets overbought it's ripe for a pull back because overbought stocks ones with many buyers tend to snap back after they have gotten too far away fromthe longer term trend line the inverse can be true too. a stock can fall so far so fast
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you should expect a snap back because it's technically oversold you hear me use the terms. we see the patterns constantly they're reliable indicators that change is about to occur if you're debating buying a stock after you have done all of the research and you find the stock is overbought, i usually tell you to wait for a fullback that almost always comes that's because they have done enough chart work to know it overshoots the directions and then retraces back to better entry or exit points charting though is tricky. periodically, some stocks are so strong they break through all of the ceilings of all traditional significant measurement periods, then they stay overbought perhaps for weeks at a a time. define the historical training patterns that have trapped them within the bands of extreme. they defy the notion of the inevitable gravitational point of the old equilibrium line and can't be contained by the overbought conditions that come crashing down from
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when you spot the highly unusual moves, you know what, you may have to strap yourself in to get a real moonshot. we slip -- 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 a stochastic oscillator this time in las vegas sands this summer the stock of las vegas sanders one of the largest casino companies with a very big business -- not that it mattered to the chartists had been 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 consider ral there was no stocking them and it gained all of the strength instead of regrouping to recover from the overbought status a very rare pattern. you see this thing it stayed overbought it never retreated as you would have expected. buyers wouldn't quit despite the
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stock being overbought and that is a sign the strongest kind a positive move in the book might be taking place. at any given time i'm i expected a pullback but no, you had the gigantic long term overbought. this stock preceded to go from $10 to $48 pretty much in a straight line with no substantive pull back to speak of it's a golden opportunity for a huge move. okay, right back to being overbought again remember, i like to marry the fundamentals with the chart so i'm not too depend department on the pictorials you know what was going on right then that's when the chief locusts of prof -- profits went from being vegas to macao the only place in china where gambling is legal. the change transformed it from a so-so gaming company that might have been named macao sands. the charts told you about it ahead of the wall street analysts they weren't thinking about macao here
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the chartists were thinking there's buyers lurking volume is another key tool to chartists. they use that too spot pivots. it's a lie detector, telling us whether a move is for real or not. when there's a small move on white volume the technicians ignore it. but when there's a small move on heavy volume, the chartists drill down laser like to see if it's a precursor to something bigger chartists are at looking for accumulation on big volume meaning they're accumulating the stock in an aggressive way or distribution that's a synonym for the selling of the stock they talk about an accumulation distribution line. when it's arcane and involving -- i know it is. charting of whether a stock closings higher on greater volume versus lower volume, again, any brokerage house will offer you this, i care passionately about it.
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it can go against the grain of conventional thinking about the stock. 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. thank heavens for the chart. i didn't like gmos, i was kind of biased. tim collins saw it another way he said the accumulation distribution line showed that while the stock had down days they were on light vibes you had low lines here then on the heavy volume on the up days. that's a sure sign that more money is flowing in than out of it collins noted such a persistent accumulation or buying pattern versus the distribution or selling pattern convinced him that large funds were building positions to own it long term. not to rent it for a quick move. it turns out what i didn't see, what i was so confused about was that monsanto stock had started to be correlated with the price of corn.
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which was going higher back then because of new found demand for ethanol engendered by government price support. i was concerned about near term earnings and worries about a short fall but the chart showed you big picture. the work of collins told you not to fear. it was showing you that something bigger was developing than just the quarter. he was dead right. and a stock that i would have kept you out of was a big winner when corn shot up taking monsanto stock and the earnings up with it the big boys knew the relationship, and you were able to pay me back by using collins' work i got smoked he saw it. bottom line, we need to look at lots of different indicators to spot big moves indicators like accumulation, overbought over sold levels and spotting the terms that are not visible to those of us trying to spot the changes that often are further out in time.
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it can elude those who are only focused on the underlying companies and not the action of the stocks themselves. let's go to dan in illinois. dan. >> caller: cramer, thank you for demystifying the market and helping us make it accessible. >> well, that's what i want. i want everybody to understand their money. how can i help >> caller: thank you i'm wondering if i start with a small position in a stock, a company i like, and the stock just keeps going up, the most it comes down is maybe 2, 2.5%. how i can get a more sizable stake? >> my discipline says you missed it my discipline will cut off the downside which is far more important than cutting off the upside if 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 and years
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from my charitable trust i have done the work. it is almost always a mistake. chartists use all different types of indicators to spot big moves that helps them stay ahead of the games and the fundamentals and now you're ahead too. lots more "mad money" ahead too. heads and shoulders isn't used for dan drum, but to help you make some money. and then your charts, you're not going to want to miss my take. got a burning question, i'm taking your tweets tweet me @jimcramer/mad tweets stay with cramer shield℠ annuities from brighthouse financial
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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 learn not to ignore one of the most simple but by far the most reliable patterns out there. the dreaded ahead and shoulders pattern. >> house of pain. >> and my charitable trust, cohen, low teens took a giant bath in red ink because of the ill informed or really say early buy. remember i like to do mea culpas on the show. you can learn from my us mistakes we didn't correctly become enamored with alcoa, more in proprietary forms of aluminum. it announced it would split into
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two separate companies here, why don't you take a lack at alcoa it enjoyed a healthy run for the winter of 2010 right up opportunity till february of 2011 rising from $13. nice rise up to $17 as the earnings trajectory turned around it quickly reversed and went back to 17 and then went up to 18 on the eve of the quarterly report. i thought the quarter when it was announced was a fine one most of the time that's all you can ask for. what worried me know was after the initial positive reaction the stock dropped down to $16. 16 and change. on the news of that better than expected quarter a few days later, it was back to $17. i felt almost vindicated and then i went and bought more. i went and bought more right there.
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could i have been more wrong i don't think so that 17 to $15 dive represented on the chart as a point "a" and point "b" and follow the run to 18 and then it was a perfect head and shoulder's pattern that's the most frightening pattern and alcoa traced it out just when i thought we were out of the woods what was happening europe and china began their slowdowns and aluminum became a glut still, it was aluminum over the course of the next few years kleinfeld was rallying well after the slows but only after the brutal head and shoulders pattern, one that cost
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the trust quite a pretty penny mea culpa. one of the things i admire about technicians, an inverse head and shoulders pattern signals a real chance for glory a the beginning of january 2013, they were running for the food stocks caterpillar, united technology, you know the kind of reation is usually the death nell for stocks to go higher however, tim collins said you know what, jim, you ought to take a hard look at pfizer because the stock was tracing out a reverse head and shoulders pattern. the largest pharmaceutical company would be the kind of company i would shun i would normally never touch it when the economy is speeding up. if you look at this chart you can see that pfizer traced out a left shoulder as it rallied through the month of october
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then started declining aggressively in november it formed the head and then december caught a rally and then a pull back 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 it tells the technician you're about to witness a big move pfizer's neckline was a $25.80 and collins predicted if you take out the neckline it could be in for a monster run. given that money was pouring out of the staples and drug stocks headed for the industrials i was confounded by the bullish reverse head and shoulders pattern i. didn't trust it one bit. i mean, come on, i knew it was a bad stock. but collins said rotations smoked agencies. you had to close your eyes and buy the stock because something big was going on i didn't think it was inconceivable. sure enough, he was right. i was wrong. the stock almost instantly jumped more than 10% after collins told me to buy it with
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both hands what caused the move soon after collins flagged this bullish reverse right here, the 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 publicly traded company in a move that ultimately created $15 billion in value who knew the chart did. here's the bottom line patterns matter. when you see ahead and shoulders, don't take any chances, sell sell sell. at least some of it. when you see a reverse head and shoulders developing even if it makes no sense to which stock it is happening to, consider buying some that's how powerful these moves are and the chart work on the two patterns is vindicated far more often than the skeptics would think is possible. stay with cramer i'm opening up the lines to hear from you, the voices of cramerica but it's an uncertain time i want to take to you. >> mr. cramer, you are
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positively fantastic. >> the average investor which we all know and love, you cater to us and we appreciate that for all you teach us. >> i am not going anywhere you shouldn't either we will get through this together. >> cramer has your back. call 1800-743-cnbc and let's take on the market together. >> we'll figure this out we'll puzzle it over and make it so we're all smarter (toni vo) 'twas the night before christmas,
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♪ we run the gamut of technical training tonight, like the head and shoulder and reverse head and shoulders set-ups. but they're not the only ones that can 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 what's 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 otherwise i might have been turned off on or shaken out by take the stock of cramer favorite, domino's we got behind the pizza franchise when it traded down to $10 and we were feeling greedy when it traded up into the 30s
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it began to drift down on no new news i hate the churning situation on no news situations because i'm paranoid enough that something is happen and the others do. when the company isn't talk that's when the technicians are used so is ed ponsi he is from barchetta capital and i asked if 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. we thought the thrill -- might have been going here, maybe we should ring the register take the big gains for the viewers so tempting right there. no in fact, ponzi told us to do the opposite that little advance back up was all he needed to know all was well he said it was a very special moment he was anxious to show us why. you see, with that return back up to say 36 okay, domino's was
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tracing out a perfect cup and handle formation that's right a pattern we have found is to be as reliable as the head and shoulders in the predictability. you caught the beginning of the cup at 36 bucks, then it sloped down to $38 and i was really nervous right there. all right. he told me not to be the stock climbed back to $36, the right side of the cup and then a 37 -- a little saddle to 37, 38 that would be the beginning of a handle that almost always signals a much higher move handle handle goes like that. very reliable. sure enough, his work nailed it. domino's received a double and then some as the earnings were accelerating it turned out they were consolidati consolidating, this was positive action domino's, they were embracing
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technology let customers place orders directly via the net we will have left a minimum of a double on the table if it weren't for ponzi's guidance i can go back to ponzi when i was concerned about one of my favorite stocks, monster energy i needed the chartist to give me the skinny because i heard that red bull was crimping competition and there was the distinct competition in the energy drink business. check this one out ed said that for months the stock of monster had been bouncing off the 100 day moving average, the blue line it every time i looked like it was going down, it rebounded rebound, rebound, rebound. he said that monster was tracing out a series of triangles. also known as flag patterns where you get a flat ceiling of resilience and the upward sloping floor. see that when the stock hits the new line of resistance it punches right
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through. any time you get the short firm console dations preludes to the 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 both hands. every time stock at 49 and preceded to jump to 79. confounding the naysayers including numerous short sellers who would have been negative if they had known about the pattern. they were worried about the government intervening monster is tied up with coca-cola and in a deal that rocked the -- that shows you the energy drinks are here to stay once again i would have been shaken out of this stock's move if it weren't for ponzi and his chart hand holding a lot of variations of the different triangle and pennant formations take a look at this chart, big move up. citigroup. everybody hated it in june 2010. where the lows kept getting highs but the highs stayed the same he loved this right here this is what's known as a wedge pattern. collins finds i as reliable as the pennant and that ponzis
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believes in. we had tremendous success following the work of carolyn boroden, the fibonacci queen fibonacci, who i often talk about. we like to work with garner to examine when too many hedge funds are leaning the wrong way on a 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 heck of a lot more money than if you're blind to one or the other and certainly to both. "mad money" is back after this break. take control of your financial future with the new "mad money".cnbc.com full episodes, analysis, even your own sound board and special access to "mad money" 101 with rules and techniques to break
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today i'm counting down your top tweets first up, a feel good tweet. thank you for all the good advice thanks to your books and hard work and saving and investing i retired at the age of 55 i want you to continue to own a lot of stocks. you won't get a lot of income from other activities from other bonds and stocks compound. you get that dividend. keep reinvesting here at src talent tweets, my 19-year-old son wants to start saving for retirement. do you have any advice unfortunately it's boring as all get out, start with an s&p index fund i'm not going to recommend any particular one, but once they have put $10,000 aside then they can focus on individual stocks them's the rules next a shout-out, don't let the haters get to you. keep doing what you're doing periodically i get tired too and i get a limitationry and i get
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feisty but what i like this is my little zone here right? it's all nfl you come into my box, you're going to have to be tackled. i'm not looking the other way. next up, you want new investors to max out on index funds before investing in individual stocks again, this show is incorrectly known as some sort of trading show where we don't like index funds. we're investing show, where we demand you to be in index funds. sorry for the misinterpretation by you last but not least, excited to have found the @jim cramer show at a relatively young age. i only wish my mom and dad were still alive because then finally they could say, hey, i told you, jimmy. stay with cramer
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trader bracing for a wild session. >> this is 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.
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>> welcome to the shark tank, where entrepreneurs seeking an investment will face these sharks. if they hear a great idea, they'll invest their own money or fight each other for a deal. this is "shark tank." ♪ with a product inspired by his daughter. ♪ my name is travis perry. i'm from dothan, alabama, and i have invented a product that allows you to play the guitar instantly. put that finger there, okay. now strum the bottom four. ooh.
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