Happy Labor Day, traders…
September just started, and my inbox is already flooded with the same panicked messages I get every year.
“Is it true that September is always bearish?”
“Should I buy puts for the September Effect?”
Students who’ve been crushing it all year suddenly want to abandon their strategies over a calendar month.
Here’s what’s happening: “The September Effect” has become trading folklore…
Every year, experienced traders psyche themselves out of big winners just because of the month they’re trading in.
I’ve been trading through 22 Septembers. And yes, the month has historically been volatile.
But that volatility creates opportunities for traders who understand what’s actually happening (instead of panicking over market mythology).
Let Me Show You How To Turn September’s Bad Reputation Into Your Biggest Trading Advantage…
What The September Effect Actually Is (And Isn’t)
Historically, September is the worst-performing month for stocks.
But that doesn’t mean what most traders think it means.
- Fund managers rebalance portfolios before Q4
- Retail investors return from summer vacations and panic-sell positions
- Institutional selling creates technical breakdowns that trigger stop losses
- Media amplifies the “September curse” narrative, creating more selling pressure
This isn’t random market chaos. It’s systematic, reliable behavior that Smart Money exploits every single year.
The Panic Pattern I See Every September
Here’s what happens to retail traders year after year:
Early September: Market shows minor weakness.
Mid-September: Traders remember “September is bearish.”
Late September: Mass exodus from positions that were working fine.
October: Same traders watch their abandoned setups rip higher without them.
I’ve watched students sell perfectly valid positions in September only to chase them back at higher prices in October.
Don’t be those traders.
How The Smart Money Uses September Fear
While retail traders panic-sell, institutions are quietly accumulating:
Week 1-2: They sell just enough to create bearish headlines.
Week 3: They start buying discounted positions from panicking retail.
Week 4: They load up on quality names at artificial discounts.
October: They ride the relief rally higher while retail chases.
The September Effect allows the Smart Money to harvest profits from predictable retail psychology.
But that doesn’t mean you have to let them harvest profits from you.
The Stocks That Ignore September
Not every business participates in the September weakness.
Some sectors actually tend to strengthen during this period:
- Biotech names with October FDA approvals often build momentum
- Retail stocks position for holiday season guidance
- Tech companies with September product launches can buck the trend
- Defensive sectors sometimes see rotation inflows
Focus on individual setups rather than broad market sentiment. Some of my biggest September winners have come from stocks that completely ignored the “effect.”
Your September Action Plan
Week 1: Scale out of extended positions. Book gains before potential choppiness.
Week 2: Build a watchlist of quality names that have been unfairly punished in September.
Week 3: Start accumulating oversold positions with strong fundamentals.
Week 4: Position for the October relief rally that historically follows.
Remember: The September Effect is real, but it’s about psychology, not fundamentals.
Trade the psychology — don’t be a victim of it.
My September Challenge To You
Track every trade you skip this month purely over September concerns.
Write down the setup, why you passed, and what the trade actually did.
I guarantee you’ll discover that “September fear” costs you more money than true “September weakness” ever will.
In fact, Tim Bohen is seeing one of the biggest opportunities of the year right now…
He’s about to reveal the same secret that helped him target single-day peak gains of:
199% with MBIO…*
252% with CYN…*
352% with MCVT…*
414% with SBET…*
And many, many more…*
And according to Tim’s research, the potential this secret offers could EXPLODE after Labor Day weekend…
That’s why TONIGHT, September 1 at 8 p.m. EST … Tim’s hosting an urgent LIVE trade briefing, so you can uncover all the details behind this opportunity for yourself.
But you only have a few hours left to sign up…
The Only Traders Who Profit In September Are The Ones Who Stop Fearing It.
Happy trading,
Ben Sturgill
*Past performance does not indicate future results
