Hey, Ross here:
The great thing about trading is that the same type of opportunities crop up time and time again.
Let’s look at one now.
Chart of the Day
Source: @HiMountResearch via X
The bottom half of this chart shows the bull-bear spread for the institutional investors.
In other words, it tells us how many more bulls vs. bears there are among the “smart money”.
The higher the bull-bear spread, the more the bulls outnumber the bears.
And right now, the bull-bear spread for institutional investors – while being beneath the highs – is still significantly positive.
Contrast that with the bull-bear spread for individual investors below:
As you can see, there are currently more bears than bulls among individual investors – the complete opposite!
This is a big divergence opportunity.
I explain why below.
Insight of the Day
Institutional investors move the market, individual investors follow the market.
The implication of this?
Sentiment among institutional investors is often a leading indicator…
While sentiment among individual investors is often a lagging one.
That’s why bearishness among individual investors was at an all-time high at the end of last October…
Right before the market blasted off to new heights.
The most important thing to understand right now is that institutions are bullish while individuals are bearish.
That’s the divergence.
And when you translate that into price action…
You usually get a consolidation as the individual investors are flushed out…
Followed by a big breakout once the institutions are firmly in control.
You want to position yourself during these consolidations before these explosive breakouts occur.
That’s why later this morning at 11 a.m. Eastern…
I’m going LIVE for a masterclass that will show you exactly how to position yourself in front of these explosive breakouts.
The key is using the FIRE Pattern – which is perfect for exploiting this exact scenario.
In previous breakouts this year, you could have used this pattern to scoop up gains like 70% in 9 days, 140% in a few months, and 340% in under two months.
But as I said yesterday, the entire small-cap index could be about to hit new highs.
And that means gains like these could just be the start.
So, if you haven’t already…
Make sure you click here to”lock in” your spot for my live FIRE Pattern masterclass later this morning.
I’ll hand you my entire playbook for using the FIRE Pattern to exploit the current market, including:
- The step-by-step rules for spotting the FIRE Pattern…
- The exact type of price action you need to be looking for…
- And the precise moment to position yourself in the pattern for maximum gains.
Position yourself now – before the breakouts happen.
I’ll see you in the live room in just a bit at 11 a.m. ET.
The login info will be in your inbox soon.
Customer Story of the Day
“I’m happy I recently opted into the Ross Givens’s Trading Club at Traders Agency (at the best and fairest offer I could possibly get).
I’m new to trading U.S. stocks and options on a regular basis but it doesn’t matter.
Ross does all of the hard work for me while I’m trading at my own pace (he knows how to trade successfully most of the time and I know that I won’t win every trade. Fair enough).
He and his great team share a lot of their trading experience in live sessions. Great job. Thanks a lot!”
Ross Givens
Editor, Stock Surge Daily
