Equities are Lower Due to Profit Taking
Following yesterdays rally in reaction to the FOMC statement, the equity markets are consolidating. Traders are focusing on comments by central bankers today. The NYSE and the NASDAQ volume ratios are indicating traders are taking profits.
Custom QuoteBoard using 15-minute bars for the equity derivative products are mixed. The RSI readings for the e-mini S&P 500 (EPM7), the e-mini NASDAQ 100 (ENQM7), the DJ Euro STOXX 50 (DSXH7), and the Dow (DJI) are indicating flat momentum.
The Q.NYSEVolRatio is flashing a reading of 43 % up-volume, which is indicating a two-way market with a slight amount of selling pressure, and the Q.NASDAQVolRatio reading is 44 % up-volume, which is also indicating a two-way market with a small amount of selling pressure.
The MACD and the RSI reading for the CLEJ7, Crude Oil for April traded on Globex, is indicating a short-term up trend.
The RSI for Gold (GCJ7) and the MACD action is indicating a short-term up trend.
Yields are up in the Treasury market today.
The EUR/USD pair is trading lower based on the MACD and the RSI reading.
The chart of the S&P 500 and the NYSE volume ratio on a 15-minute basis shows the market rising, but the volume ratio is below 50-percent percent up-volume, which indicates traders are selling. However, the ratio is only moderately negative.
The NASDAQ Composite index and the NASDAQ volume ratio readings show the market trending higher and the volume ratio is below 50-percent up-volume. That is a near-term sign that sellers are starting to become more aggressive. And, like the NYSE volume ration, the ratio is only moderately negative.
We want to see the volume ratios climbing above 50-percent up-volume for a bullish sign.