How to Sell Before a Massive Drop

To close out the trading week, let’s do something a little different. Instead of zooming out and looking at higher-level market dynamics… Let’s zoom in and tell a quick story about a single stock… One that lost over $50 billion in market value overnight.

Chart of the Day

This is the infamous UnitedHealth Group (UNH). On Tuesday this week, the stock dropped 20% overnight – wiping out over $50 billion in market value… After the Trump administration proposed nearly flat rates for Medicare Advantage insurers (combined with lackluster revenue guidance). UNH wasn’t the only health insurance stock that was battered by the news. Stocks of companies like Humana, CVS Health, Elevance Health, and Centene also saw heavy selling. But there’s a reason I’m singling out UNH specifically… And it’s this little document right here. It’s called a Periodic Transaction Report…. And shows Congressman Kevin Hern – who by the way, sits on the House Health Subcommittee… Selling up to $500K in UNH stock on December 23 last year… Just over a month before the government’s devastating Medicare announcement. Does this look like a coincidence to you? Because if it does – I have a bridge in Alaska to sell you. And it exposes a fact about the markets that many people are unwilling to face… I explain it below.

Insight of the Day

There are many groups of traders who have in-built structural advantages in the market. Here are a few examples of these structural advantages. High-speed connections to the exchanges Cutting-edge trading algorithms. Control of sufficient capital to move entire market sectors. But the most powerful structural advantage of all… Is access to insider information. Congressman Kevin Hern likely avoided six-figures in losses thanks to his “prescient” sell. And many of his colleagues – on both sides of the aisle – have made millions from timely buys. And it’s not just the politicians. The corporate insiders do it too. You have CEOs, CFOs, and other high-ranking execs snapping up their own company stock – typically before a huge announcement… All completely legally thanks to an SEC loophole. Following these insider moves is how we spotted a stock a couple months ago that is now up nearly 300%. And later this morning at 11 a.m. Eastern… I’m going LIVE to walk you through my exact strategy for tracking these insider moves. I’ll show you the right kind of insiders you want to follow… How to avoid the dangerous pitfalls traders make when trying to follow these insiders… And I’ll reveal the 3 counterintuitive things I look for in an insider buy (you won’t hear this anywhere else). So click here to confirm your free spot for my live insider walkthrough if you haven’t yet… And I’ll see you in just a bit at 11 a.m.ET. P.S. If you’re planning to attend on a mobile device, make sure you download the presentation app now so you don’t miss anything when it starts. See you there. iOS: https://apps.apple.com/us/app/goto/id1465614785 Android: https://play.google.com/store/search?q=goto&c=apps

Customer Story of the Day

"I started a few months ago and started implementing the simple strategy with $1000 and have seen a return of over $300.  Ross makes trading very understandable and if you follow along you will make money even with the losers. Probably the best thing you learn is risk management!" Ross Givens Editor, Stock Surge Daily