Is the Shakeout Over? Signs That the Worst May Be Behind Us

by | Jun 21, 2022 | Market Updates

U.S. stock futures traded higher this morning following an extremely turbulent week on Wall Street — and more in Tuesday’s stock market recap.

If you look at the iShares Russell 2000 ETF (NYSEArca: IWM), an ETF that tracks the performance of U.S. small-cap stocks, you’ll notice it hasn’t made as big of a lower low as other indexes like the S&P 500. 

This is significant because the Russell 2000 tends to lead the broader market on the way up and down… 

Volatility via the VIX, or fear gauge, didn’t make a higher high last week as the S&P 500 and Dow both made new lows. So if the IWM doesn’t break its previous low and goes up to the $190 level, there’s a good chance that the worst is behind us. 

The put/call ratio is also still above 1, which tells us that more traders are buying puts than calls. This means stocks are oversold and overdue for a strong rally. 

In this morning’s stock market recap video, I’ll show you why I believe last week might have been a major market shakeout… which sector is starting to lead… why small-cap stocks are leading… whether volatility has topped out… what to expect from the Federal Reserve this week… the best stock to own right now… and where stocks are headed in the near term. 

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! 

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P.P.S. When it comes to trading, every second counts. And in choppy markets like these, often driven by headlines, stocks can make big moves in a flash.

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Stock Market Recap: By the Numbers

This morning’s stock market futures recap: 

DOW (mini)

  • Close: 29,888.78.
  • Futures: 30,291.
  • Change: +421.

S&P 500 (mini)

  • Close: 3,674.84.
  • Futures: 3,733.75.
  • Change: +58.

NASDAQ (mini)

  • Close: 11,265.99.
  • Futures: 11,476.75.
  • Change: +180.5.

RUSSELL (mini)

  • Close: 1,665.69.
  • Futures: 1,692.2.
  • Change: +27.3.

Note: Updated as of 9:22 a.m. EDT.

On Tuesdays, I’ll detail the strongest and weakest sectors in the entire market. I’ll tell you exactly where I’d put my money and go long, and which ones I’d avoid or even short. Using my proprietary momentum indicator, you’ll get actionable ideas on every market sector, every single Tuesday. 

Need help understanding some basics that we discuss frequently? Check out some of our educational pieces to help get yourself up to speed! Have a question or a topic you’d like us to explain in a future article? Send your thoughts to support@marketgeeks.com

Check back each morning for the Roger Scott newsletter and the most important news and numbers in the WealthPress stock market recap.

WRITTEN BY<br>Roger Scott

WRITTEN BY
Roger Scott

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