U.S. stock futures traded higher this morning as Wall Street looks to recover from two days of losses — and more in Thursday’s stock market recap.
The CBOE Volatility Index, also known as the VIX, or fear gauge, is still declining. If volatility is able to break even lower, it’ll tell us that the broader market is likely to head higher.
Even though the market isn’t behaving how we’d like it to right now, if the VIX goes down, it will send stocks higher…
But I also want us to pay attention to the iShares 20 Plus Year Treasury Bond ETF (Nasdaq: TLT) — the long bond — which has been moving sideways for quite some time now. It’s important to keep tabs on the TLT because the broader market gets its clues from the bond market…
What I’m trying to say is that the bond market is one of the main reasons why communications and chip stocks have stopped trading lower.
In this morning’s stock market recap video, I’ll show you one indicator that’s giving bulls ammunition in this tough market… which sector is setting up for upside trading action in the near term… whether the bond market will remain neutral or become directional soon… an update on the global economy and Federal Reserve… and the top ETF right now with an options 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!
P.S. The Federal Reserve is stuck between a rock and a hard place…
Inflation is at a four-decade high as stocks continue to crash. But if the Fed keeps raising rates, the market will likely sell off even harder.
So what does this mean for everyday traders?
Well, the economic tightening is causing big money to rotate out of tech and speculative growth stocks and into more recession-proof sectors like Energy, Consumer Staples and Utilities… because they tend to do well when the rest of the market is sinking.
And this massive rotation into defensive names is happening right now!
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.
That’s why I want you to get my latest trading ideas and market updates as fast as possible. So I’m rolling out an all-new option for my students to receive trade alerts with Telegram!
Telegram allows me to get trade ideas, videos and watchlists to you in a matter of seconds.
Check out this short article we put together with instructions on how to download telegram and access my private channel. Go here to get the details.
Stock Market Recap: By the Numbers
This morning’s stock market futures recap:
- Close: 32,813.23.
- Futures: 32,818.
- Change: +20.
S&P 500 (mini)
- Close: 4,101.23.
- Futures: 4,097.5.
- Change: -1.5.
- Close: 12,548.36.
- Futures: 12,519.5.
- Change: -31.5.
- Close: 1,854.82.
- Futures: 1,856.6.
- Change: +3.6.
Note: Updated as of 9:25 a.m. EDT.
Each Thursday, I’ll combine two of my favorite things into a big-money opportunity: options plays and ETFs. Using options, we can turn momentum analysis of a specific sector — or even an entire country’s stock market — into an actionable trade with double- or triple-digit upside potential. I’ll give you all the details you need to execute this plan.
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 firstname.lastname@example.org!
- What Is the Dow and How Does It Work?
- A Beginner’s Guide to the Nasdaq and How to Trade It
- What Companies Make up the S&P 500 and How Can I Trade It?
- What Is the VIX? Understanding Stock Market Volatility
- A Beginner’s Guide to Stock Sector Analysis and Relative Strength
- How to Pick Winning Stocks With Simple Market Analysis Tools
Check back each morning for the Roger Scott newsletter and the most important news and numbers in the WealthPress stock market recap.