September Watchlist: What’s on the Fast Radar?

Tuesday, 28 Aug 2012 | 5:37 PM ET

It may looks like things are quiet in the market right now, but looks can be deceiving.

CNBC’s Fast Money pros are setting up for what could be a wild September.

Not only are the economies of Europe and China showing signs of weakness, but the approaching election and imminent fiscal cliff are likely to send markets into a tailspin.

And investors have every reason to be jittery.

Looking at history, on average the S&P 500 has declined 0.8% each September, from 1950 to 2009, making it the worst month for the index.

Are You Ready for September?
Money pros Steve Grasso, Guy Adami, Stephen Weiss and Simon Baker all reveal how they're positioning into September, historically the worst month for stocks.

As you might expect, September is also the worst month for the Dow and Nasdaq.

With a potentially terrible September only days away, what should you do?

Pro trader Steve Grasso recommends looking at single stocks - but not just single stocks that are currently performing well.

Grasso says, look at stocks that have an inverse relationship with the S&P - that is scour the market for stocks that historically make gains in September.

Unlike the S&P, "Seasonally September for Amazon has been very good," says Grasso. "That’s the way I'd play it. But, considering the valuations I’d make my bests with calls to limit upside risk."

Find out how the other Fast Money traders are getting ready for September in the video above.

Posted by CNBC's Lee Brodie

Read More from Fast Money:

> Fast Money’s Favorite Dividend Yielders
> Top Secrets of Pro Traders
> 10 Top Stocks for the Long-Term Investor

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Contact Fast Money

  • Showtimes

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  • Melissa Lee is the host of CNBC's “Fast Money” and “Options Action.”

  • Scott Wapner is host of the "Fast Money Halftime Report," which airs weekdays from 12 p.m. to 1 p.m. ET.

  • Guy Adami is a contributor on CNBC's "Fast Money." He also is managing director of stockMONSTER.com.

  • Najarian, the "Pit Boss," is cofounder of optionMONSTER.com, a news site for options traders.

  • Finerman is president of Metropolitan Capital Advisors, Inc., a company she co-founded.

  • Founder of EmergingMoney.com

  • Chief Market Strategist for Virtus Investment Partners & CNBC Contributor

Halftime Report

  • Jay Yarow, The Business Insider, and Steve Milunovich, UBS, discuss whether Tim Cook is to blame for Apple's drop in growth. I think it's pretty clear they missed the big phone market and overestimated the success of the plastic 5C phone, says Milunovich.

  • CNBC's Eamon Javers reports on Bill Ackman's stake in Allergan. Javers says this is a classic case of insider trading that is not against the rules.

  • FMHR trader Josh Brown thinks Dunkin' Brands looks fantastic technically, while Mike Murphy says investors are questioning the company's massive expansion plans.