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.


www.TheStockMarketINSIDER.com

Keep the home-builders on your radar

Leading home-builder stocks such as Toll Brothers(TOL), Lennar (LEN), and D.R. Horton Inc (DHI) all advanced higher over the past two weeks of trading. These stocks have now entered an overbought area and look primed for short term profit taking. When these stock pull back they will lead any declines in the major stock indexes. Keep watch, next week should be light again but many major moves are nearing.

Short Entry

Jonathan is shorting AMZN At $137.25. He will be taking half of his 100% position at this level, and buy the second half should it go higher. Swing trade expected duration.

Nonfarm Payrolls Numbers Out

Futures rally higher on the report. Oil trading flat. Dollar down slightly. Gold Down pre market.

August Nonfarm Payrolls - down 54,000.

Private Nonfarm Payrolls for August - rises 67,000

Unemployment Rate for August - reports in at 9.6%

August Hourly Earnings - Up 0.3%

Average Workweek for August - remained 34.2 hours

August factory workweek - Increased to 40.2 hours

Insider Report - 9/2/10

Today, Thursday the 2nd of September the markets traded with some of the lightest volume of the year. This however, comes as no surprise. Most people are now awaiting the highly anticipated government jobs report for August. While many await this number and the markets will react, we simply cannot take these numbers as 100% fact. These numbers are not fully representative of the overall picture, all we need to do is place ourselves on the right side of the trade as the markets will react. If you must trade this tape the wise thing to do is wait for the reaction, then trade it. Typically we will see a large move in either direction, this initial move is never the smart money. Therefore, remember this saying, the first move is ALWAYS the wrong move. If we see a quick, fast move to the down side this can present a quick long scalp opportunity however, this is not for everyone, only those with quick fingers and stops which they abide by. Next week will continue the light volume action with the Labor Day holiday hangover and the Rosh Hashanah holiday. These two weeks are the time when the executives/top traders/managers take vacation and the junior squad takes the mound. Therefore, based on this simple fact it is often difficult to put too much belief into this rally – although we will not completely dismiss the action.

Looking forward to Friday, the trading action should look much like today. After the first two hours of the trading session the volume will deteriorate. This is the environment were the amateur will get into a trade out of boredom. Restrain yourself, the key to winning in trading and investing is waiting for the right moment to pounce, when numerous factors are in your favor, then and only then you take a trade. Another excellent shorting inflection point will be here very soon, this is the moment to make big money. You need to be prepared for the move once this light volume action passes. The S&P 500 index will have first resistance 1103, and 1117. The most relevant support levels for the S&P 500 Index will be 1084 and 1052. Remember, light volume action typically represents moves higher in the markets therefore you must be cognizant of this fact. Bottom line, many of my readers want action, action, action but you need to realize something very important; there is no get rich quick in the markets, you NEED to express patience, have your capital free and wait for the right opportunity. In the past during this time of year I would never look at a stock, even when I was managing and advising those controlling billions. This is important because it is exactly what is occurring around you right now. Once my good ol' comrades return from their weeks of decadence we will resume taking profits hand over fist. For now, tomorrows key points on oil are.... GET THE REST OF THE INSIDER NEWSLETTER BY SIGNING UP FOR OUR FREE TRIAL NOW.

Become an Insider

Jonathan Patro, a true stock market insider with over 20 years experience on Wall Street, trading and managing money for some of the most highly sought after private funds, and consulting for major institutions. For many years his talent was kept under wraps, horded by those with enough money to pay for it. During the start of the current financial turmoil Jonathan advised his clients to exit the markets, enter cash, short real estate, and financial stocks. Many listened, few did not. Those few who failed to adhere to the expert opinion of whom they trusted for decades, are no longer in existence today and many have walked away from the devastation they caused. We are delighted to bring this incredible talent, Jonathan Patro, to the public today. Based on Jonathan's personal distaste for the industry and those who control and utilize the economy as their own personal greed driven puppet has encouraged him to step out from behind the scenes and help the public. He will now reveal to the public his most coveted analysis, tools, and market guidance which has made him and those he worked for billions.

In Jonathan's own words, “I have become thoroughly disgusted with individuals who have claimed to be my peers. I have made these individuals billions over past decades, they listened to my every word, always followed my advice. Only when my attempts at stifling their enormous greed failed, I knew the game was coming to an end – for the time being. The same individuals who knowingly continued practices which they were fully aware would have dire consequences on the general public, yet continued to feed their personal greed and exploit the system without regard – this mentality I cannot associate with any longer. I have since stepped out of the world of secrets, manipulating markets, and greed. Today my efforts will consist of empowering the average investor, supplying them with the fighting chance they need to succeed against these heartless, greed driven giants.”

The Stock Market Insider, Jonathan Patro invites you to join him as he enlightens the average investor/trader and guides subscribers to the path of making money, profiting from the games and manipulation played by the big boys!

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