Lisa Cook sues Trump over firing attempt, emergency hearing set
Markets brushed off Trump’s interference in the Fed and buyers were able to return indices to their highs, albeit on light volume. The Russell 2000 (IWM) was perhaps the main beneficiary, as it returned with a new On-Balance-Volume ’buy’ signal. It’s the index of choice if you are a buyer as it has spent most of 2025 underperforming, but now finds itself in the ascendancy.
There were gains in the S&P 500, but the rate of ascent has slowed since July. Taking profits wouldn’t hurt, although it too enjoyed a new ’buy’ signal in On-Balance-Volume. At worst, it’s a "hold". There is a ’sell’ signal in the MACD, but it’s a weak signal.
The Nasdaq is a similiar position to the S&P as it follows its 20-day MA with a new ’buy’ trigger in the MACD. There was buying acccumulation on Tuesday, but not on Wednesday. Slow and steady as it goes.
While lead indices enjoy gains, Bitcoin ($BTCUSD) continues to suffer. It only enjoyed a brief respite on Wednesday just above support. Technicals for this asset are firmly negative.
If there is a trade to watch it’s the Semiconductor Index. It’s sitting on the verge of a breakout with a new ’buy’ trigger in the MACD just a day away.
For today, momentum traders can stick with the Russell 2000 ($IWM), breakout traders the Semiconductor Index ($SOX/$SMH) and shorts can attack any rally in Bitcoin ($BTCUSD).