Weak opens on a Monday morning are often an invitation for dip buyers to do their thing, but they aren't showing much interest this morning. A brief attempt to close the opening gap was made, but it fizzled quickly and the indexes are struggling to hold above the lows of the day.
Breadth is poor with around 2,200 gainers to 4,900 decliners, but there are still over 150 stocks hitting new 12-month highs. Apple (AAPL) is weighing heavily on the indexes after a downgrade, but technology names, in general, are struggling.
The dollar is seeing some buying interest and bonds bounced back after taking a hit on the better-than-expected jobs news from Friday. Precious metals are trying to regain their recent luster, but are struggling. The Grayscale Bitcoin Trust (GBTC) is attracting speculative action again, which is likely a function of bored traders not finding much action.
There are not a many areas of speculative interest right now, but some of the recent initial public offerings are showing up on the trading scans. Revolve (RVLV) , for example, had a solid bounce and my "Stock of the Week," Personalis (PSNL) is seeing a good bounce after hitting a new low on Friday.
It isn't hard to pinpoint the problem with the market today. There is some concern about the dovishness of the Fed following good jobs news. In addition, there were reports in the Chinese press that no progress has been made on trade. With earnings season a week away, there simply is not any compelling reason to put cash to work.
I'll be looking for some new merchandise this afternoon, but will stay highly selective and use shorter time frames
Apple is a holding in Jim Cramer's Action Alerts PLUS member club.