[Doomsday is just around the corner⦠Will you be ready for the next market CRASH?](
Jason Bond went LIVE yesterday and released Smoke Signals â A service thatâs focused on capitalizing on the governmentâs and Wall Streetâs greed.
Why be a victimâwhen you can profit from a stock market collapse.
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[For a limited time only](, weâre re-broadcasting Smoke Signals, make sure to stick around for Jayâs bonus trade, a large-cap darling, that may have run its course.
[Watch Now](
How One Silicon Valley IT Admin And Friends Reaped Millions In Insider Trading Profits
Hello trader,
These so-called ânerdsâ from Silicon Valley are not as pure as you may think.
The U.S. Securities and Exchange Commission (SEC) just charged a Silicon Valley IT administrator and their friends in a multimillion-dollar [insider trading]( ring.
Hereâs the kickerâ the company was Palo Alto Networks (PANW) â a large-cap cybersecurity company.
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So what did these data nerds do?
Well, they figured out a way to extract important company informationâbefore the earnings release dates (super illegal and one heck of an unfair advantage)... they got away with it for a while⦠and in the process, made millions in trading profits.
Imagine knowing how a company would report ahead of its earnings announcement⦠And you being able to place a trade before they announce⦠it would be payday every day for you too.
What exactly did the Silicon Valley IT administrator do?
Janardhan Nellore (who has been fired from PANW) was at the center of the scandal and used his credentials to steal [highly confidential information]( about quarterly earnings releases.
Nellore basically knew whether the stock was going up or down AHEAD of these catalysts⦠and traded off the information. Heck, he even tipped his friends â Sivannarayana Barama, Ganapathi Kunadharaju, Saber Hussain, and Prasad Malempati â about the information.
These guys came up with code words to hide the fact they were trading off the information⦠and used words like âbabyâ to refer to PANW. They would exchange texts and emails saying âenter few babyâ or âexit babyâ.
In exchange for the information, Nelloreâs friends would kick back some cash (they thought it was only right because after all, they received proprietary information from Janardhan). In order to cover their tracks even further, they sent small sums of cash to avoid reporting requirements and bank scrutiny.
Little did they know, the U.S. government was onto their shady operation and figured out what they were doing.
The FBI interviewed Nellore back in May⦠and guess what he did?
He booked one-way tickets to India for himself and his family⦠and the FBI arrested him at the airport. What these guys didnât knowâthe SEC has beefed up their data analysis tools to spot suspicious trading activity, as well as uncover whoâs behind them.
Thanks to the SEC, they removed a few bad apples from the market.
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However, there are thousands of publicly-traded companies out there⦠and itâs just too much for the SEC to find all these greedy insiders. [There are still so many well-informed traders placing massive bets using non-public information.](
How to Profit From Wall Streetâs Greed
The thing is⦠itâs only illegal if you know the information ahead of time. However, if you just follow these guys and their massive bets, itâs 100% legal. Why? [All we know is the order flow and what side theyâre getting on](. We arenât privy to the information they are. No harm, no foul.
Let me show you how it all works.
I spotted a massive options order go off recently in Lumber Liquidators (LL).
2409 LL December 20 2019 $9.50 Call for .30
Someone bought 2,409 calls in LL for a measly 30 cents a pop. That means the trader âcontrolledâ 240,900 shares, a bet that cost them $72,270. Pretty sizable to me. [That told me something was up and I should put it on my watchlist.](
Now, I donât blindly follow these trades⦠I actually look for a bullish chart pattern as well. Check out the daily chart in LL.
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The stock formed a double bottom just below $8.50 and started to trend higher. When I looked at the chart, I noticed a key breakout level at $10. Since it was at a whole number, I figured that could act as a magnet and LL could break above it very soon.
So I decided to follow along and let my clients know about my moves.
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Guess what happened with LL?
Lumber Liquidators released some good news just a few days later, and shares gapped up!
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That trade was good for about a 100% win!
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[I see trades like this go off ALL the time](, and as you can see⦠itâs 100% legal. The trade was based entirely off order flow and a chart pattern, I didnât know anything about the catalyst.
If you want to learn EXACTLY how I spot trades like this, [click here to learn how my 5-minute options strategy could put you in a position to double your money week after week.](
Cheers to Profits!
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Kyle Dennis
[Special](
RagingBull, LLC
62 Calef Hwy. #233, Lee, NH 03861
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