Public Update: POMO, QE 1234 & More, Power Banks... Who Cares

Welcome back to my public viewership. Insider Report Subscribers, well you know the routine. This has been and will remain an incredible short term market. The day trades have been nothing short of prosperous, the multi day swing trades have also been stupendous. Do not expect this to change.

The moves in this market have been surprisingly easy to determine. Do not mistake that ease for lack of caution or awareness. When QE kicks in, POMO pays out, speeches are made, the "banks" continue to receive free money from the tax payer or should I say Government printing press, holidays, weekends, options ex... this list goes on, the point is these events cause clear reactions in the markets. You need to understand this and why because this is EXACTLY how those in the know (not the average investor, not even your uncle who is worth 50m) profit and will continue to do so. Take this food for thought, banks today can simply operate their businesses without doing anything and make a profit. They do not need to offer you any kind of return on your savings accounts, why when they are getting money for free. All they have to do is operate their credit card businesses, take in fees and sit back while the profits roll in. Ask yourself this, what really has the Federal Reserve been doing? Well I will tell you now their main purpose and intention; manipulate the markets enough in order to inflate asset prices. Why would the Federal Reserve want to inflate asset prices? Simply, inflated asset prices increase the perceived wealth of the public. When the average American sees their 401k moving higher they are much more likely to spend money. This spending of money then causes more of a perceived recovery in itself; in effect the Federal Reserve is attempting to jump start the economy by pushing assets higher artificially. Why then is this a bad thing? Consider what is happening, the inflation of asset prices is caused in part by pumping massive amounts of money into the system and pushing the U.S. Dollar lower. In reality, the public is gaining little to no real wealth. As the Dollar drops 10%, the markets have increased approximately that amount. The average American again, only notices the return on their investment not the reality of the true lack of wealth.

My greatest challenge is informing those who choose to better their lives on the facts, that way we can together take our nice piece out of the manipulated pie. You should not sit on the side lines and think your best interests are in the realm of this administration, or much worse the FEW major banks who once again have far more control then ever. Instead take this as your time to make more money then you thought possible. It is possible, and this is the time when those few who inform themselves on what is actually happening learn to profit from it.

I will offer you all of my knowledge from years of playing these games myself. Join the Insider Report and gain your edge now.

Great Job!

Many plays alerted as longs have played out perfectly for subscribers.

Follow the money, in this case PPT, POMO, and those institutions who are paid absurd amounts of money to help buy these markets higher, and higher, and should I add, higher. As manipulated and just out right wrong the actions of the Fed and Friends have been and will continue to be, these are the times we live in. All we have to do is understand their motives and how/when they will fund the markets. This understanding will allow you to do EXACTLY what my subscribers have done;

Short the markets on the brief pullback, then load up on longs for the next ride - which as you can see played out perfectly and we took a lot of profit today.

My current holdings are now great deal in cash after taking large profits today. I retain some longs, and a few key set ups and short plays will be on the table very soon! Be prepared, this is the time to make a lot of money!

Patro

The Big Money Is Getting Ready To Move

Major Market Action On Tap - Use this upward move in the markets as an indicator of something to come. All too many times dramatic (or mildly exciting) moves in the markets are orchestrated with one purpose in mind; get the masses on board. For example, when the markets move higher in a short period of time the media will be all a buzz, this gets the retail investor to buy stocks and spend money. We all know what happens when the majority thinks in one direction, it doesn't happen. This is one major aspect of this fascinating market that must be considered. Accompanying this awareness one must have a keen understanding of the institutional money positioning. This understanding will allow you to know exactly when the next shoe will drop, or rally begin. I will make all of my subscribers aware of this move before it happens, as I have done many times in the past. We are on the preface of another major money making opportunity. Place yourself on the side of the markets which the retail/average trader or investor always remains the opposite of. In my newsletter I will alert all of my subscribers of the exact time to enter and side to be on. I will leave you with one last note, this move will be the start of something even bigger then many understand. However, your entry will be the key to making a small profit or small fortune. Downside market action comes fast and hard, be prepared.

Major Levels Coming Into Play

The S&P500 ETF called the SPY is coming into a major and very significant region. This level will the denoted with two resistance levels. They way to play this area will be to look for the initial short play off the first level - take profits, then look for a possible short off the second level - again take profits. Now you will look for the SPY to close above these levels, at that point we WILL go long and the markets WILL go higher. But remember, you need the markets to break above this VERY key level, if we break above you GO LONG, but the first hit of this resistance area is a very high probability short play. Here are your levels to know:


SPY VERY IMPORTANT AREA is between $111.75 (which is the first shorting level at the 200ma) and the neckline of the inverse head & shoulder on the daily SPY chart at $113.15 (second short level). Remember, these areas will present a great short on the first touch of the levels, then if the markets move above the levels it will be time to reverse and make a lot of money going long.


As traders we must let the markets come to us, DO NOT force anything or you will loose. All you need to do is know and understand the important areas which the big boys keep on their radar and act on them alone. Please understand, people teach all of these technical patters, tools, etc etc, only to make money selling them to people who do not and will not make money using them. What you need to do is learn the tactics of those who manage the wealth of the world, and simply take a small piece off the pie. Your life will not only be much more relaxing, you will make more money then you ever imagined.

Typical Holiday Hangover

Today, as well as the rest of the week will be very slow. This IS NOT THE TIME TO BE AGGRESSIVE. I recall consulting for a particular institution, I would go into the office during this time of year as well as the period between Christmas and New Years. I knew that nearly no executives or managers would be in yet, the only employees would be those i like to refer to as the "JV Squad." These employees would have basic control, enough of which allowed me to capture the disparities in the markets; for the most part I would utilize the light volume to push out those who were on the opposite side, short or long, put or call. Today, it would seem that the upside should be favored, when the volume is this light pushing the market higher is not entirely impossible. The biggest lesson to learn which i embed in my subscribers minds is that in times such as these you need to express expansion of your analysis, allow positions room and adjust as the disparities will be played. Next week will resume normal trading, do not be an amateur in this environment. Express discipline and be prepared to take profits and additional positions when the time is right. This IS NOT A TIME TO BE AGGRESSIVE, no big money liquidity adding player is being aggressive unless they are taking the small fish out right now - I know because I did it.
Bottom Line: it is your choice, would you like to trade/invest like a big money fund and make big money, or get your money taken? You can be a "small fish" and trade like the big boys, all you need is an understanding of their tricks and tools. Step inside.

Index trader: plays considered would be SDS from Fridays close and similar short funds.
Individual Stocks: AMZN continues to show a decent short opportunity. Although it may remain range bound with light volume.
Overall Sentiment: Markets could go lower as they encounter profit taking, however the volume is on the forefront as it is and will remain very low. While the volume remains low further upside is favored. Create your short list and be ready to act. I will inform all subscribers when the time is prime.

JetBlue May Fly Higher

When analyzing technical patterns and price performance understanding the entries that will provide the best probability is most important. Jetblue Airways Corp. moved higher last week closing at $6.11. Any good trader knows not to chase a stock that has run higher in a small amount time or go short when a significant move lower has occurred. Amateurs chase and always get burned. The JBLU chart may appear extended, however, it presents an opportunity for those with the ability or knowledge to play it properly.


Allow me to explain very simply: JBLU made a pivot low on May 6th which was a clear long entry and my subscribers profited from that move as well as the following short level. Since May 6th the stock has made a series of higher lows. Higher lows will often lead to higher prices despite the multi-month higher trading range. Traders should look for a possible short consolidation in the morning, this will present an entry point at or under $6.00. The first near term profit taking area will be the $6.50 level on the daily chart. Should the stock move higher then $6.50 then the weekly profit taking level of $7.00 will come into play. Pro traders will consider selling half of their position and $6.50, move their stop slightly in the money at that point and hold the rest for the higher resistance level of $7.00. The weekly chart support level will be $5.25. Should JBLU move lower then this level stop losses should be executed and the old support will be considered resistance. Join the Insider Report to get in-depth analysis on what the pros are trading now!

Short Stock Watch List

As of the market close on Friday Jonathan has added JPM and NFLX to his Short Stock Watch List. JPM short price: $39.11. NFLX short price: $140.51. The exact entry will be determined by the market factors Jonathan uses in his entry analysis. These targets are his guideline and present high probability shorting areas although subscribers will receive his exact entry point and time (if he has not already done so). The trades will most likely be held for a swing trade time frame. If entering any trade always abide by your stops, swing trade stops should be given a bit more leeway, day trades should have very tight stops. Stay on the right side, become an INSIDER.


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