The Trading Post | 12.08.25

Good morning,

Carvana is joining the S&P 500, traders are betting the farm on a Fed rate cut, Toll Brothers is about to give the housing market a truth serum, Netflix is stabilizing after WBD merger shock, and small caps are ripping into year-end like they just discovered caffeine futures.

Want to follow a proven options system with a 70%+ win rate? Robert Roy's Power Option Plays delivers twice-weekly trade alerts with clear entry and exit plans. 

Let’s jump in.

Pre-Market Performance

As of 12.05.25 market close.

Market News

  • Small caps outperform into year-end: The Russell 2000 continues a monster rally, up 9.4% since late November as traders rotate out of mega-cap tech. Bloomberg

  • Carvana surges on S&P 500 inclusion: CVNA spikes ~8% pre-market as index funds begin loading up. Yahoo Finance

  • Fed cut odds hit 87%: Markets are nearly fully priced for Wednesday’s 25 bps reduction; volatility remains muted ahead of Powell. Yahoo Finance

  • Toll Brothers earnings on deck: Luxury housing sentiment will be tested, with implications for XHB, LEN, DHI. CNBC

  • AI earnings wave incoming: Oracle, Broadcom, and Adobe kick off a heavy tech earnings week. Market Watch

A Message From Wealth Builders HQ

Trade Options with Confidence Using a Proven System 

Power Option Plays (POP) isn't just another options alert service—it's a complete trading education wrapped around real-time trade opportunities. 

Here's what makes POP different: 

Rob Roy personally analyzes hundreds of stocks every week, selecting only the highest-probability setups based on his Fibonacci and moving average system. You get twice-weekly recorded trainings that walk you through exactly why each trade setup works, so you're learning the methodology while following along. 

Since its founding, POP has maintained an average success rate above 70%, generating millions in profit in simulated trading accounts. The system focuses on repeatable patterns using the same core stock candidates, which means you're building pattern recognition with every alert. 

What You Get: 

  • Biweekly recorded training videos breaking down current market setups 

  • Trade alerts with specific entry points, position sizing, and exit strategies 

  • A proven tracking system that shows you exactly when to scale in and out 

  • Quarterly live Q&A sessions ("Mastering The Trade") to refine your approach 

  • Access to Rob's complete watchlist with bias indicators (bullish, bearish, or neutral) 

Whether you're swing trading or day trading, POP teaches you how to fish while giving you the best fishing spots. You'll learn to identify your own setups using Rob's Fibonacci-based system while following his alerts on proven candidates. 

Ready to trade with a plan? Check out Power Option Plays and start building your options trading confidence with a system that actually works. 

Earnings We’re Watching

  • Toll Brothers, Inc. (TOL) - Monday (AMC) 

Daily Moment of Zen

I'm also a firm believer in predicting price direction, but not magnitude. I don't set price targets.

Linda Raschke

Why It Matters:

This is the part traders always struggle with — the market doesn’t pay you for clairvoyance; it pays you for discipline. You don’t need to predict the future like you're auditioning for a Marvel movie. You just need a setup with defined risk, a repeatable process, and the courage to execute it without turning into a fortune-teller.

Professionals don’t guess where the market will go; they trade what the market is doing right now. Meanwhile, amateurs burn precious oxygen trying to forecast every tick — and then wonder why their P/L looks like a ski slope.

Trading isn't about prophecy. It’s about probability. You don’t need to know the ending… you just need to stop rewriting the script mid-trade.