We can see below that the Cumulative Tick displays an impressive 'mood change' that occurred a few days ago.
The Futures are not under selling pressure here.
The 10Ys display a positive divergence to price, which makes sense since the Fed provides much Treasury paper through its Reverse Repo operations. No need for anybody to purchase Treasuries on the secondary market if these are made available through rehypothecation.
Going forward in 2022, we can see below (Red circles) that expected earnings increases are much lower than what we experienced in 2021 (Yellow.) This could be a concern for next year's price expectations.
Conclusions:
Today is the last trading day and the last day to book tax losses.
Typically, traders that are not on holiday will continue adapt their portfolio.
Below is the list of trade ideas. I still believe that it is unwise to be short. Some of these short seems compelling tough...
Anyway, I display below the Pyramid data on five long trade ideas. I have long positions in LCID and BCRX.
ZNGA is a software game company. Not sure why it is attracting so much money. I suspect a short squeeze in January.
FLSR/RUN are solar panel companies. The sector is much beaten down here, but these two look interesting.
