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Critical Divergence in a Major Sector and Trade Ideas for Bulls, Bears

by | Dec 8, 2021 | Market Updates

Before we jump into this morning’s stock market recap, there’s been a lot of volatility of late so I’m hosting a free bootcamp training session to teach people my top 3 critical components for profitable trading during a market pullback. Yes, it’s absolutely FREE, so sign up here!

Now for this morning’s recap…

The market is following through after Tuesday’s big rally, and all three major indexes are up again — and more in Wednesday’s stock market recap.

The market is volatile and something I don’t particularly like but expected… while the Nasdaq is up 40 points, the SMH semiconductor index is only up 0.14% and the market is diverging. 

This means we should be cautious with semiconductors right now — they rose too much too fast. We could still see upside from the likes of Advanced Micro Devices Inc. (Nasdaq: AMD) and Nvidia Corp. (Nasdaq: NVDA), but the weaker names may start to sell off, putting further pressure on the Nasdaq 100.

The put/call ratio looks good, we’re no longer above 1 and the market looks like it still has more upside to go. So I have two actionable trade ideas to share, including one for the bulls and one for the bears…

In this morning’s stock market recap video, you’ll discover what the major catalyst that’s driving prices right now… whether bonds have more downside to go… the single sector that’s making me increasingly nervous… a review of market internals and whether small caps are lagging or leading… an update on the global economy highlighting Germany and Japan… critical levels for momentum… a bullish trade complete with stops and options strike price… a bearish trade complete with stops and an option strike price.

Don’t forget to like and subscribe to our YouTube channel if you haven’t already so you can be notified as soon as we post our next video and see what other trade opportunities we’re paying close attention to! 

Roger’s Radar: Volatility Is Falling

Volatility is on the way back down right now… We could have another couple of spikes, but typically after we see sharp rises like we’ve had recently, it tends to cool off. Then it reverts back to the mean, and that’s what I expect in the near term after the past week’s major moves up. 

Stock Market Recap: By the Numbers

This morning’s stock market futures recap: 

DOW (mini)

  • Close: 35,719.43.
  • Futures: 35,760.
  • Change: +47.

S&P 500 (mini)

  • Close: 4,686.75.
  • Futures: 4,692.75.
  • Change: +7.75.

NASDAQ (mini)

  • Close: 16,325.66.
  • Futures: 16,335.75.
  • Change: +17.75.

RUSSELL (mini)

  • Close: 2,253.79.
  • Futures: 2,264.7.
  • Change: +10.8.

Note: Updated as of 9:01 a.m. 

P.S. Trading Legend Spills His Secrets

Markets have been a little crazy with the latest coronavirus variant causing a stir. 

That’s why trading legend Chuck Hughes decided to spill all of his best trading secrets.

He laid the foundation for how he’s been able to make a killing over the past 20-plus years, and this strategy is built to work in any market.

He could even give a trade away…

See How It Works 

Check back each morning for Roger’s Radar and the most important news and numbers in the WealthPress stock market recap.

WRITTEN BY<br>Roger Scott

Roger Scott

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