As Market Plunges, Do This; Costco, Ensign, Johnson & Johnson Hold Up

23:47Um, and that's what happened there. And let's go to the next one. Oh nine.

23:51Mike Webster:All right. Let's go to the seven 24 of 2009.

24:01And yeah, again, pointing it there in Oh eight. Um, It is what it is. It doesn't look like we're going into an 07 to 09 or a 2000 to 2002, but you just want to be open-minded to anything being possible given the position that we're in. Let's go to the next one.

24:22Mike Webster:Okay. The next one is 232012. Okay. So that one wasn't bad, right? It pretty much didn't go that much lower from there. But again, it was a different look because you had that upside reversal there. So they're not all the total doom and gloom, but it's a sideways chop during that time frame. We can go to the next one. Absolutely. I'm getting better about being faster, Allie. I have stories to tell about each one of these charts, and I'm not telling them. And with all of these, I mean, there are other earlier entries, and we've talked about that exactly with your trend change checklist, closing above the 21 day, the low above the 21 day, the multiple lows above the 21 day, closing up on the day.

25:06Mike Webster:But if you look at all of these, I feel like once you're back above that 40 week or the 200 day, you know, I mean, it just makes such a difference being above or below that level. To me, that's everything. Like the 200 day, even though I focus on the 21 day and you can go to the next chart, even though I focus on the 21 day, the 200 day tells me everything. Like if you're either above it and staying way above it, you're in a good, normal environment. That's where you are most of the time. But when you're underneath it, you've got to plan for the worst because just like Bill would always say, how does the stock get from 50 to 100?

25:44He'd always say it goes from 50 to 51 to 51 and a half to 53 on the way up. How does a bear market happen? How do you get to 20%. Well, you're on 5%, then 10%, then 15%, and so on. So it is what it is. So this one, you just had your, it looked like your high was underneath there for just a little bit in 14, but then over there in 12, it was underneath there. So there are some times where it's not that big of a deal. And that's in the data set as well. Let's hope for that. But notice, at least on that second one again it was an upside reversal not closing at your lows uh but the one in 2012 the first one that you pointed to there that looks really bad and it looked like it was going to you know fall apart so um that's one that i would study for if you want to you know study

26:36Mike Webster:hope you can go to the next one okay let's do four or five of 2019. okay and again you can see in there just after it goes underneath there, bad things tend to happen. And until they resolve themselves. And I want to be very clear if someone's not used to how I look at charts, I'm not saying you wait for this recovery date at all. I just wanted to have a date where people see, okay, now you've recovered. And like you were saying, along the way, you'd get follow three days above the 21 day and and and all that good stuff yeah for sure okay next on the list we'll go to six five of 2020 covid yep same thing there i think we most people remember that one and we can go to the next one okay we'll go to five six of 2023 23.

27:34And that was a bad one. I mean, that was just so choppy and sloppy in there. And, and, you know, a lot of money could have been lost during that because there were so many signals. So kind of to your point, Allie, that if you temper your enthusiasm, when you're underneath there, even with the follow through days, and even with the 21 day and the 50, because if you're still underneath that 40 week line or the 200 day, you're in a very risky position until you can get your low back above it. And certainly really having that turn up because once it's in a downtrend, it's even more negative. And I think those were all the examples because we looked at the other ones before.

28:17So let's go back to our current date with that in mind. And the homework for everyone is to go and do this. I would do this on the S &P and the NASDAQ. If you're super hardcore, you can pick your other favorite index, whether it's whatever, the IWMs or God forbid, the Dow or VXUS, anything else you want to look at and just study with an open mind and just say, okay, I would just tally it up. You can just have a little notepad there and go, okay, you know the first time went a lot lower next time just went a little bit lower and then just tallied up and go okay most of the time this ends up happening because again bill told us not to predict you just interpret and my uh the way i look at interpretation is just going okay what would be normal and natural normal and natural would be we got a lot more pain i don't want that to be the case so i'm hoping that is one of those good examples but you also have to live in reality and it just doesn't look good.

29:20Mike Webster:Yeah. Webby, any thoughts on how many down weeks in a row that we've seen? Is there any? It was funny. I was wishing Justin wasn't on a vacation because I'm so busy with all my projects that I was like, I wanted him with his database to go and search. But what I would be looking for would be three or more weeks in a row with decently widespreads closing near the lows because that's what we had. And then what to expect after that. Now, the difference between everything historical and what we are right now is the news happens a lot faster than it did at any point. Yeah, maybe, you know, yeah, then, you know, the last five or 10 years because of these tweets that come out and you've got text reading algos that jump on that news right away before.

30:18You know, when I started, you didn't even have like real time news unless you were a professional professional. You were kind of flying blind. And sometimes reading the newspaper the next day is where you got the news, which was fine because you would just look at the charts and the news was always in the chart. Now it's a little different because those algos read it within milliseconds and their orders are acting within milliseconds. So it's just a bit tricky. And I just don't want people to get hurt. and it's better to be a little bit late and getting heavy in the market than getting hurt because you can really do a lot of damage to your account underneath the 200 day.

31:00Yeah.

31:00Mike Webster:And it feels like since now, you know, we're clearly below the 200 day or the 40 week, it seems like, you know, even just going back a couple of weeks ago, yeah, the overall market was week, but there were still some pockets of strength in sort of some growthy high octane stuff. But now even that by and large, not everything, but a lot of those leaders have now come under pressure too. And that's sort of, that's another piece of the mosaic that we look at, right? That's a good point. Let's pull up one of the best ones, Micron, and take a look at that. And something i think everyone uh you know most of us were trading and now that's a breakout failure right so it broke out of that base and it failed given the move let's go to the weekly on this given the move that it had this could be a lot lower than it is um and it could get a lot worse than it is it's already 24 off of its highs in a blink of an eye but when a stock has a a base breakout failure when it's up there like that, you've got to be very careful because they can fall a long, you know, a long, long way down.

32:11So if you're in something like this, just make sure you have a strategy for getting out of it. If you're in something like this and you got caught in it and you're down on it, that's something I would be very, very careful about. Now, if you're like our good buddy, Chris Gessel, who bought it around 120, but he's been hedging and stuff. But let's say you were in there and you hadn't hedged. Well, that's a little bit of a different situation because then you've just got to say, how much of those gains do I want to give up? And then you can use different rules. You can use your 10-week line. You can use my quick, quicksand, Grateful Dead rules.

32:48You can use the 40-week line. You can use like 30 % off the highs. there's a million different ways and you can actually, you know, it doesn't have to be an all or nothing type of situation when you throw in the towel. And I find psychologically, if let's say you've, you've got a line in the sand, let's go back to the daily. Cause this has happened to me a million and a half times. Let's say it was three 57 67 was the stop that I had in there. And I didn't do any selling until it got there. And that was my stop and it hits it and it doesn't go any lower and then it snaps back and goes straight up to new highs.

33:27I mean, that's happened to me a million times. What it does is it tells your mind, it's like, oh, well, I don't want to do that. I didn't feel good last time that I cut my loss. I'll just let it get a little bit worse or a little bit worse. And then all of a sudden you're in no man's land of being down so much that you don't know which end is up. So what I like to do is have gradual stops. You can use the low of a prior day, low of a prior week. You can use different moving averages, a 21 day, a 10 day, a 50 day, find your favorite thing that works with your style, but you can have placed, you know, four or five stops in there.

34:05So you're gradually getting out and maybe it doesn't hit your final stop and then turns back up and, and psychologically you're, you're in a better place. All right.

34:15Mike Webster:Well, we better get moving. Yeah, let's do it. But I think that this has all been fantastic. And I was going to show another chart, but I don't think I had it open. I'm calling an audible here. Just a different way of thinking about the sector action. One of the things that I did in our beta platform, I don't have that open right this second, but is you, even in legacy, but you can add the sector column, right? So then I looked at the growth 250 and I sorted by percent change for the current week just to see where the money was flowing. And, uh, I found so many energy related names still are acting really well.

35:06Mike Webster:So that's a very notable pocket of strength right now. Some of the building names, power-related stocks also in there, and some medical stuff. I don't know if you had any other. And today, not for the week really, but today you did see a number of the gold-related names on the move. Any thoughts about the sector action this week, Webby? Yeah, so let's kind of do them one by one. The energy-related ones. Let's pull up OIH. Yeah. If you have a crystal ball and it's telling you that this conflict is going to continue and we're going to have problems with the straits forever, you're 200 % long this, but none of us know that.

35:49So if you're trading anything and you're just using the chart, well, this is acting beautifully. It was like, where is there a problem? Well, it's because the the this area is benefiting from what what's going on so if i was in anything this would be you know an area where i would just say okay well i'm going to dial my position size down to handle a quick and abrupt resolution and what that would do but let's pull up usl which i know there's a million ways to look at um oil but this is one we tend to look at and look at the volatility that's been in there. But if you had bought it out of the breakout, you could use some, what has it been abiding by the 21 day?

36:38So if I was in there, I'd say, okay, well, I'm going to let this float around until it closes below the 21 day or at least penetrates it. How far are you from the 21 day?

36:49Mike Webster:Let's check it out. 14%. 14. Okay. So then that's what I would look at and say, okay, well, let's call it 15 % by the time that you probably get out of it. And I would look at my position size, say, okay, how much can I handle if I'm going to give back 15 % before that I know I'm wrong? Now, there's always a potential gap down as well. But this is, like you said, this is the one area that has been holding up. And what were the other ones that you were mentioning? I'm sorry. some of the building uh and power related names and that makes i'm just trying to think which one was had the big move today but um what agx was up a bunch right yeah that was on earnings yes okay that was on let's go to agx okay so here earnings crapshoot but this is a beautiful action i made 37 in this tape um that's wonderful what do you do with that watch it and look for a new entry on there.

37:51What type of new entry would I use? Well, I would want it to go, exactly. I don't even know why I show up. I could be like starting my weekend, Allie. Oh, hush. What would I be looking for? You drew it.

38:02Mike Webster:Yeah. Well, you know, a couple of days holding in there and then sort of a little shakeout reversal type move. Exactly. And my favorite shakeouts are when they actually shake out underneath the low of the gap up day because that's where everyone has their stop. Why? Because it's the most logical place. Now you can always put a little buffer in there, 1 % under it or something, but sometimes they take that out too. So if it shakes out below that and gives you an upside reversal, then you've got a really nice risk reward where you just use the low of the upside reversal. Now, if it just goes in sideways there and then it breaks out into strength, then that's how I buy.

38:46Yes, I know that since October, buying strength has not been rewarded in the market, but you know, you use the tools that you have. Unless you're fastly. Yep, that's true.

38:57Mike Webster:Okay. Let's, so yeah, a little, a little bit of sector talk here, but we did spend a lot of the show talking about some very, very important historical market precedents. And I think that was worthwhile to spend a good chunk of that. We have a couple of lower ATR stocks that we just want to quickly highlight and then we'll get to Webby's super awesome important charts. So first, Costco holding up in a week tape. Yeah. So this is, we have to go over three stocks for every SMT. It's just kind of what we do. And so we're looking around and the reality is you're not buying anything if you're really following the system right now.

39:37But if you're looking to build a watch list, this is kind of a watch list. if the market turns and rips up, you're probably not going to want these names. These are the names that you're just itching to buy something and try to buck the trend. Costco, great. Why? Because let's go to the monthly on this one. You don't have those big, crazy moves. You're not going to get it up 37 % in a day, most likely, like we just saw in the last stock, but you probably won't get it on the downside either, unless there's some real surprising news because historically you just haven't had that so something slower and pokier that over time you know has had a nice uptrend but that rs line you know is not good it just really isn't it's back above those moving averages but just barely but this has been out of favor because the heat has been what's in favor let's go to the daily and see like how you would get into this and of course i have got such a positive bias towards costco not just as a consumer but as an employer because they have such low turnover because they treat their employees properly so if you can compare and contrast that with like walmart employees that you know just calling it the way you see it like walk into a walmart or sam's club see how they treat you walk into a Costco, see how they treat you.

41:01There's a difference. I'll let you be the judge so I don't get myself in trouble. But hopefully they're not advertisers. I love them both. I love, you know, Sam Walton was great. But anyways, they have such a low turnover that that keeps their costs lower. And then so then they can have lower prices, then it just builds on itself. And that's kind of how they they operate so through a thousand um give or take through that you know downtrend line that that you have on there that's where i'd be you know getting into this that rs line is smoking on a short-term basis i mean just so much higher because people are just you know hiding here yes do i get myself in trouble ali well at least they're not doing this live

41:48Mike Webster:Yeah. Yeah. Oh yeah. Let's go to the medical sector. Two names there that we want to highlight. Insign Group, ENSG. Look at this orderly action. Pullback, schmullback in the market. I mean, this is a very orderly, gentle, gentle pullback. And really it feels like the moving average is more catching up to the stock. Exactly. You said it perfectly. Let's go over to the weekly. The other thing is, it's right, just like Costco is right around a round number of 1 ,000. This is right around a round number of 200. So it helps. What I like the most is that earnings line, that green line. It's stable. And institutions love that because then it's predictable for them.

42:33Why is the market falling apart right now? Because it's not predictable. People don't know what is going to happen. But why is this doing well? Well, it's because the earnings are stable. and institutional clients can kind of say, okay, well, it might not be the hottest thing in the world, but at least it's plugging along here. Let's go to the daily again, just for the entry. So the way I would enter it would be either, if you get one shakeout down to the 50-day with an upside reversal, that would be my ideal place to get it. Or if it just broke that downtrend, giving it a shot and then certainly using the 50-day as my ultimate line in the sand.

43:13And what's nice is it's still on top of that last base, which is very healthy.

43:19Mike Webster:Love it. Okay. J &J, another low ATR stock. Cracks me up, doesn't it? It's just been like a monster and it's J &J. Like why is J &J doing well? Super surprising. Yeah. Super surprising. Because yeah, look at that monthly chart. It's finally changed character a little bit. the relative strength line is still not at an all-time high but over the last couple of months here i mean it's it's very impressive for j and j i mean it was one when when bill and i were um running the institutional buy list back in the day whenever we were in a situation like this it was kind of a joke that we'd go okay let's put j and j on the list or let's put you know j and j was our first kind of go-to but then it would be like utilities and other slow pokey stuff because institutions had to have a place to, they couldn't be like everyone who's watching, probably it's all retail.

44:16We can all go to cash, but institutions, unless you're a hedge fund, you know, you pretty much have to stay fully invested. So they're just hiding over here. Are you going to make a ton? I don't know. People have made a ton over the last couple quarters and it's now bouncing off of your 10 week line. Let's go to the daily to see if there's an entry on here. And because it has changed a little bit, I would actually go and study the story to see if there's a new product or something that's going on, or it's just people hiding. So this one -

44:48Mike Webster:A little bit of an improvement in the fundamentals, I will say, you know, some acceleration. Yeah. So with this one, really the entry point would have been three days ago, because you have the upside reversal right underneath the 50-day, which was viable. and then the next day would have been, you know, but I would have just done a token buy there, but I would have bought more the next day. This is something I wanted. So then the low of that day is where I would say the exit is. So it's a little bit out of there from that standpoint, but you know, it's not that far away on a percentage basis. Yeah.

45:20Mike Webster:All right. Well, that's our stock review. Now let's go to Webby's charts. Okie doke. Let me pull those up. and can you see it yep we've got it all right so here is our bob weir take a step back where we start off looking at the weekly candles and what we're going to do is go through a bunch of charts in each one we're just going to say what would be normal and natural on the next bar or bars and let it paint a picture you know kind of a little mosaic so from this standpoint Allie, this is probably the best looking candle I've ever seen. What do you think? Again, it's opposite day. Oh, it's opposite.

46:01Yes. That looks terrible. Huge spread, closing at the lows, tiny wick up on top. I mean, it doesn't get worse than that. And then you just look over here, you know, on the left side, you know, there's other weeks that are kind of in that category, but not really as bad, honestly. Let's go to the NASA composite, same thing there. so nothing good so through this one way of looking at it our expectation is lower let's look at the next one so here is the regression analysis that we do and we can see that we broke this regression over here so we've been in kind of a free fall since that standpoint which tells you the power of using the system as far as using regression analysis, because when it breaks down from there, it really does give you a good warning of what to expect going forward.

47:01And then the same thing there for the NASDAQ, it broke down from there over here. So we stopped using it and we're waiting for a new trend. And we need over 30 days or so. Let's do the 50 % retracement. So originally we were using the high here from October and the low from November as our high and our low and our midpoint there is this yellow one or gold line in between. So the thought process here is you want to live in the upper half of that. And when you're living in the upper half, you're in an area of strength. When you're living in the lower half, you're in an area of weakness. Now we're underneath the lows.

47:44so you know that's really bad now we're going to change things around a little bit um so notice i was using this date and this date for it now we're going to switch over to the nasdaq now we're looking at it in a different way saying okay here was your high and i did this earlier today with that being the the low but okay so now um we've got the high here from the whatever January 28th and using today as our low because now we're in a downtrend. So then you kind of flip how you use it. You're saying you're still in a downtrend until you can break this and start living up here. So you just kind of flip it upside down.

48:27And so any bounce up to in this area would be something that, you know, all other things being equal, just through this lens, you're looking at it more as an area to short or an area to reduce exposure. And let's go to our next one. Here are the levels. These are the same levels I've had on for weeks. And we're just breaking through them one at a time. Our last one that we've got on here is this line in the sand. It kind of goes along with the low here on August 1st. So that's a 619.29. To me, it feels like we're a magnet for that um if we got into the 619 29 it seems like that would be um you know a place where it would be normal and natural stop because it would be kind of up on top of this base or even getting down into the 600 level which would be out of this little kind of handle there that would be normal let's go to the nasdaq um and same thing here it's just going through let me blow this up a bit just going through level after level after level.

49:31And that's why we have them. It's, you know, as you're breaking them, you're just getting more and more constructive or concerned. Sorry. So now we've got our, oh man, the name didn't save. I changed it to the Wibnachie Simple Trend. I shut it down and restarted. I guess it didn't save. Thank you, Julie, for that, the name that we're calling this, but these are a bunch of moving averages. These are a bunch of Fibonacci moving averages that we go over every week. So the red one here, your shortest one, that is a three-day and it goes, you know, three, five, eight, 13, and so on, all the Fibonacci numbers.

50:11The white line is your current price. So this indicator down here, my latest indicator that I've shared with folks, just tallies up how many moving averages are above each other. And you just tally them up. It's just very simple. And I've done a podcast on explaining that if people are interested. But really, it's this blue line down there, just tallying those up. You want to be in the 35 range or higher. We're down there at nine. And you can just see from the chart, we're just in a kind of a free fall here. All the moving averages are stacked in the wrong direction. So it's just another way of looking at things.

50:52Let's look at the NASDAQ. Same thing there. Let's look at VXUS, the international excluding the US and same thing. So it's pretty much broad based IWM. Same thing. They all look bad. Now your favorite one. Let's go to SPY. How would you interpret this chart, Allie?

51:12Mike Webster:Oh, it's, you know, it's a long way away that 21 day, what can I say? It's a long way to the top. Yeah. If you want to rock and roll. So yes. So this one, we just try to make things simple because the other things were a little confusing. We just use the 21 day exponential and we focus on two things. You're high and you're low. If you're underneath it, the distance from your, the high to the 21 day. And if you're above it, the distance from your low versus a 21 day and we'll circle back to that for my other indicator in a couple minutes but this is when you just look at it this is your danger zone when you start living underneath there and they can really expand a lot more than you would think and this was just to show that regression again this was an older one that we were using and you can just see once it breaks from there how things really end up changing so when we get another one of these regression lines again the next time we have our uptrend um you know you just want to put a lot of weight into that because you can see how well it works we will go over to the next one what were you saying i'm sorry ali i was just agreeing with you well that's a good thing to do i like that you can do that all day long um let me hold on i'm having a little trouble here with my charts so this where did my trading view go okay there we go i am having difficulty it's not a problem almost there almost there it's worth it there it is okay so we are going to take a look at the web rsi first and we'll do it on spy this was what we were just looking at but in a different visual.

53:03So what's on the bottom here is the distance in terms of ATRs or average true range, how far away you are from the 21 day. So when it's blue or this teal color, your low is above it and this is measuring it. So this line over here is basically saying, okay, you're about two ATRs above it or your low is above it. So that's a nice healthy area. and when you have a wall of blue, that's when you make your money. When you, in this type of timeframe where you got a little bit, you know, tiny little baby walls, and then you don't have anything, that's where you can get chopped up. And that's what's been happening.

53:43When you get your high stuck underneath it, you'll start seeing a wall of this burnt orange color. And that's the, not what you want to see unless you're on the short side of things. The good thing here is once you get up to about three and we're at 2.2, that's typically when you get a mean reversion trade, meaning, in other words, oversold. It's not something that I use in my dictionary, but that's how most people think of it. So that's why I'm using that word. but let's go back in time over here in April at the bottom there. That's exactly where it got up to is three ATRs. And then that was as low as it really got.

54:26And then you can just kind of look back in time and notice that, you know, on both sides, they kind of tend to stop there at those threes. So if we see that next week, that would be, you know, I wouldn't buy because of that. But then And if you get some upward movement after it, it's more of a reason to get bullish quickly. Same thing here. This is poking up quite a bit, but still nowhere near the threes. And then sometimes, you know, this one, you know, got a little bit past three over there. You can see historically pretty much the same thing. Next one we're going to look at is this is a Bob Marley one, my daughter's favorite.

55:08it. This is just measuring how far you are off your highs in terms of those average true range again. And so the green area is when you're within four ATRs off your high, yellow is four to eight, and beyond that is red. And you can see that we're into this yellow area. It looks like we want to get into the red area. The other way I interpret this is where it stopped in the past is it's So it used to stop here at about three and a half ATRs off the high, give or take. Same thing there again, a little bit lower over here, a little bit better over here. But that was the general area. It was really three to four ATRs was the floor.

55:51Now we're through the floor and you never know how much lower it can get. And you can see in time here, sometimes it can get really, really ugly. We will go out to the NASDAQ. Same thing there. you're almost in the danger zone of that red area. So you're almost at eight ATRs off the high. So that is just some ugly stuff, Allie.

56:13Mike Webster:Yeah, it really is. So in closing, caution right now. We looked at all of those historical examples. We're waiting for a turn. We're going to be looking for a follow through day and we're going to be looking for those items to mark off of our trend change checklist. And, you know, what was that again? Can you say it a few more times? Trend change checklist. Trend change checklist. Oh my gosh. I'm impressed. I'm impressed. I don't even try to say it. No, but anyway, so we'll be, uh, yeah, looking forward to that. We want to, we want a better market, but we are dealing with the market that we have.

56:58Yeah. So I would say what I would do this week, and I would do the homework we talked about at the beginning, I think that's the most important thing. So you have a reality check, because whenever you're in a situation like this, there's always this hope. And it's fine to have hope, but you want to look at reality and just go, okay, well, you know, out of the samples, maybe out of 10 samples, there were two or three that were, you know, very short lived. And the other ones that got bad, got really bad. So that's what kind of what you're playing with right now. So you could just kind of really just take it easy until you get back above the 200 day and all those things on the trend change checklist that we talked about.

57:40Mike Webster:Exactly. And I think the other good thing to remind folks about in this kind of market. So Webby, you've traded all sorts of market conditions. You are. Are you calling me old? Is that what you're saying? No, you're a pro. You're a veteran. You're an expert. So would you say that you've made the most of your money trying to pick a bottom and right off the bottom? Or is it in, this is the rhetorical softball question, or is it in a power trend? Oh, well, we had Joe Fahmy on today on IBD Live, our good friend and my close friend. And he was talking about power trends. That's something I came up with with Chuck and Charles.

58:24And yes, the reason why we have the power trend and we've got videos and stuff on that of what it is. But essentially, it's just when the moving averages are trending in a positive direction and your low is above the 21 day for an extended period of time. That's when our style does really well. When you're not in that, it can be very challenging or really scary. And so we don't have, you know, we don't have a bottom in place. And as you were going with that, yes, there are people that I know that are very good at picking bottoms. It is a very specific skill set. And you have to be wired in a certain way.

59:04And you have to be in front of it glued to your screen all day. And you have to know where that exit is. I would say that's like less than, you know, the tiny fraction of 1 % of the folks that I've known over the years and decades that can do that well. Just don't try that. Like if you're going to try it, try it with like half of 1 % of your account, you know, if you just really want to learn that skill. But, you know, whenever I do it, I get chopped up too, man. And I'm in front of the stuff. And so I'm just like anybody else. I try stuff and I'm like, yeah, that stove is hot. Okay. Oh, wow. The stove really is hot.

59:43Just wait and follow your rules, whatever your rules are. Now, if your rule is to buy an upside reversal at the bottom, I don't have a problem with that because an upside reversal is at least a signal. Now, it's not a signal the bill would go with, but he didn't always wait for the follow-through day to start buying. If there was something perfect, he would buy it ahead of time. But again, it would have to be a perfect setup, both fundamentally and technically, not just some random chart or some hot little stock that's moving, but some real quality setup. And some of those will set up and give you entry points before there's a follow-through day.

1:00:22But we don't even have a rally day. We don't even have a day zero or a day minus zero or a day zero plus or a day zero one.

1:00:32Mike Webster:Exactly. So for folks, if we get a good resolution over the weekend, some good positive news, and you get a big gap up, that's not the time to go buying unless that's your style. Our style is that would just be day one. And then on the fourth day or after, that's when you could get a follow through day. I would say during this time, do that historical work, look for stocks that are holding up above their 200 and their 50 day that are bouncing first in the quickest when the markets do have some up days in there, build your watch list there. I would learn MarketSmith beta. That's on my to-do list to really get down because I'm winding up some projects that I'm working on where I've revamped the Growth 250.

1:01:18You're going to see that next month. I'm super proud of it. I've spent a lot of time on that. The two of us are going to do some videos on that and I'll do a podcast with Justin on it. Really excited about the changes with that. That's a product that we have within the growth 250. I've redesigned a pattern rec. That is going to be an ongoing thing that I'm going to be working on over the coming years. But we've got our phase one that we're going to be switching to. And I've updated all of our ratings. Those are all going to be coming out next month. So we're super, super excited about it. And it is a big upgrade and something I've been wanting to do for a long time.

1:01:57And I think everyone's going to be happy with those. But we also have our beta out there and it is something you've got to get used to because if your muscle memory is oh i always go up over here to click this button and now you got to go over here you got to learn you know and so now's the time to learn that that's how i would and i would call um the customer service department with any questions that you have they're there to help you yeah market surge

1:02:24Mike Webster:and investors.com they're great and we're rolling out updates and fixes all the time arnie and i discussed more in this week's podcast episode. Yeah. For, for more details, we went into the nitty gritty of that and looking forward to doing that video with you. Ah, just getting into the juicy details of all of the improvements that you made to growth to 50 pattern recognition, the ratings, such good stuff. Looking forward to it. Webby. It's been a lot of work and a lot of fun no it's been a lot of work but it was but it is fun for me because i'm a geek i do want to say um this week and i have a very special episode on my um youtube channel webby 5150 it's not about the stock market a friend of mine is dealing with terminal cancer and just fighting it like i'm now calling him the beast so it drops at six o 'clock in the morning and um i don't want to give away anymore.

1:03:27It's just such an inspirational, um, uh, story. I just cannot tell you, you need something uplifting as well as heavy. I would certainly watch it. And it's just, um, someone who's just, um, uh, just an impressive person and a new hero of mine. And, and that, um, that comes tomorrow morning at six, uh, um, Webby 5150. So, uh, tune in and watch that one.

1:03:52Mike Webster:Amazing. Thank you for highlighting that. And thank you, Webby, for all the knowledge that you drop on this show for our audience. We appreciate it. How's your daughter doing? What's the latest? She's great. All right. The two updates this week, she's sitting by herself a little shaky, but she's starting to sit. And she is saying da-da-da-da-da-da-da. But she is saying da-da now. I think it's like intentional. now. So I'm actually really happy about it. So no, you're not. You're like, I want mama, mama, no, it's really sweet. So yeah, we're all very happy. Yep. It's good. All good in the hood.

1:04:41Mike Webster:Yep. Enjoy. And we'll see everyone next Thursday, right? Yes. That's also a good note to end on because the market is closed next Friday for Good Friday. We are going to have our weekly SMT with Webby next Thursday. So we'll both see you then. Thanks again, Webby. Till next time. Thanks everyone for tuning in. Once again, that's it from us for this week. And we'll be back Monday morning on IABDLiveInvestors.com slash IABDLive for all of the details. See you then, everyone. Have a great weekend.

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