Ja. Kennedy et Ja. Yorke, BIZARRE TOPOLOGY IS NATURAL IN DYNAMICAL-SYSTEMS, Bulletin, new series, of the American Mathematical Society, 32(3), 1995, pp. 309-316
We describe an example of a C(infinity) diffeomorphism on a 7-manifold
which has a compact invariant set such that uncountably many of its c
onnected components are pseudocircles. (Any 7-manifold will suffice.)
Furthermore, any diffeomorphism which is sufficiently close (in the C1
metric) to the constructed map has a similar invariant set, and the d
ynamics of the map on the invariant set are chaotic.