April 21, 2010
U.S. equity markets are called lower this morning based on a weaker overnight trade. Overnight, the June NASDAQ made a new high for the year after Apple reported better
than expected earnings.
Many traders feel that this week’s rally may have been too much too fast which could slow down demand for stocks today. The question will be whether investors want to
chase this market higher or wait for a correction before entering.
Equity traders are getting mixed signals from the currency markets this morning. There are risk concerns because of the weakness in the Euro. A weaker Dollar/Yen and
Australian Dollar indicates that demand for riskier assets may be down today.
Look for a sideways-to-lower trade if the S&P 500 and Dow do not make an attempt to catch up to the rising NASDAQ. This will create a divergence which could encourage
traders to lighten up on there long positions.
June Treasury Bonds and Notes are trading a little better. Traders are watching the …
