Stocks remain under pressure with less than an hour left in today's session with profit taking along with the continued slide in the dollar being attributed for today's equity weakness.
After trading the 1,550 level last week, which is a level I personally wanted to see traded in the NASDAQ Composite (COMPX) 1,500.99 -2.43% trade after it broke above its December highs of 1,521.44 on May 6th, it appears some of the more "euphoric" bullishness his being unwound in today's session.
As noted earlier today, we've seen the major market indexes show a little divergence from weeks past, with some trades at and now below their WEEKLY R1 levels of support. While I can't say that this has last week's high having put in a top, as there should still be some overly short bears looking to perhaps square things up on further weakness, today's trade and tests of WEEKLY R1s, along with the higher levels of bullish % we've been alert to, certainly depicts that of a market taking some nice gains off the table from the March lows.
Sector action remains negative, with the Biotechnology Index (BTK.X) 409.35 +1.57% still holding gains, but well off its early morning highs of 428.37. This rather quick "give back" of gains wouldn't be considered "dollar-related," but not unlike the major market averages, the Biotechnology Index has made a substantial move from its March relative lows of 308, with today's news out of Genentech (NYSE:DNA) $54.06 +42.7% providing early session rocket fuel for the sectors action.
Also seeing some sign's of "profit taking" in sector action is the Gold/Silver Index (XAU.X) 73.64 +2.67% on an intra-day basis after rising to a 2-month high of 74.52 earlier in today's trade.
At this point, I don't have a reading on the vitally important bullish % data, but would expect some fractional weakness in the various index and sector bullish % as they are tabulated at the conclusion of today's trade.
Market internals have been weak throughout today's session, with the advance decline lines starting to firm in the latter-half of today's trade.
Volumes are not overly high with the NYSE trading just over the 1 billion share mark at the 03:00 PM EST mark, with NASDAQ volume at 1.3 billion shares. Still, these volume levels would be considered "brisk" in my book, considering program trading curbs were in place before the lunchtime break.
The NYSE reports decliners outnumbering advancers by a 2 to 1 marking, while NASDAQ breadth is weak, with decliners having the upper hand by a 7 to 3 ratio.
While the number of new highs are not near those levels found last week, new lows have been steady, with a growing number of new lows at the NASDAQ, compared to recent session.
Currently, the NYSE has 175 stocks having traded a new 52-week high compared to just 5 new 52-week lows, while NASDAQ reports 102 stocks at new 52-week highs, compared to 10 stocks having traded new 52-week lows.