The S&P 500 ETF (SPY) - Get Report fell 1.35% on Thursday and closed near session lows. Weighing on the markets over the past week have been the same sectors that underperformed earlier in the year: Energy, industrials and materials.

On CNBC's "Fast Money" TV show, David Seaburg, managing director and head of sales trading at Cowen and Co., said he still believes the S&P 500 will close flat on the year -- slightly higher than current levels. Hedge funds will be forced to chase some of their favorite stocks in hopes of generating a high enough return for investors. Because of this, there isn't likely to be a broad-based rally. 

Dan Nathan, co-founder and editor of riskreversal.com, said the market feels like it did back in August, when stocks plunged drastically lower. While a few select stocks may continue higher, it's unlikely to pull the overall market up. Some hedge fund favorites -- like Valeant Pharmaceuticals (VRX) and SunEdison (SUNE)  -- have been doing very bad lately, and may force funds to sell other positions as a result. 

Brian Kelly, founder of Brian Kelly Capital, also pointed out that the strong dollar will negatively impact earnings, as well as commodity prices. However, he does expect gold to go higher. 

Karen Finerman, president of Metropolitan Capital Advisors, said trading around the market is too hard from a timing standpoint, so she is sticking with her positions for the time being. However, low interest rates and strong balance sheets, coupled with falling asset and stock prices could be the perfect recipe for M&A, she said. That could provide some support for the market. 

Turning to earnings, Nordstrom (JWN) - Get Report added to the pain in retail, originally brought on by Macy's (M) - Get Report . Nordstrom shares were down 18% in after-hours trading after reporting lower than expected earnings per share, revenue and comp-store sales growth. The company also lowered its full-year guidance, with management saying it has seen a slowdown since August and it doesn't appear that it will improve. 

Finerman was surprised by the miss, considering how well of an operator Nordstrom tends to be. And its Rack business is "so important" and "such a good source of growth," so it was disappointing to see those poor results as well, she added. With that being said, one bad quarter doesn't mean the story is over, but it is concerning.

The bad results from Nordstrom Rack could have broader implications for other discount stores, namely TJX Companies (TJX) - Get Report , according to Kelly. Retailers will likely need to offer discounts to offload inventory, which should hurt margins across the board, he added.

Despite gas prices falling 25% year-over-year, many fast-casual restaurants - and clearly retailers - aren't feeling the kind of boost that many investors had expected, especially with input commodity costs down as well. 

Finerman pointed out that some companies are doing well, like McDonald's (MCD) - Get Report and Home Depot (HD) - Get Report . Auto sales have been incredibly strong and consumer credit is the highest its been in years, thanks to increased savings. 

Kelly added that consumers don't seem to buying anything but Nike (NKE) - Get Report and Under Armour (UA) - Get Report , which continue to put up stellar sales results. 

Seaburg said shares of McDonald's look to be near a temporary high for the next six months. Shake Shack (SHAK) - Get Report seems to have growth problems, but Chipotle Mexican Grill (CMG) - Get Report looks attractive. 

The conversation turned Cisco Systems (CSCO) - Get Report , which fell 5% despite beating on top and bottom line earnings expectations. 

Investors did not like the guidance the company provided, which weighed on the stock. Kelly pointed out the weak results in Canada, which isn't much surprise given that the country is export-dependent on commodities. However, the stock looks attractive near current levels. 

Nathan agreed, adding that the stock seems likely to have a big breakout over $30 sometime in the next 12 months. The valuation is low, and the buyback and dividend are attractive, he added. 

Brian White, global head of technology at Drexel Hamilton, has a buy rating and $35 price target on the stock. The company had soft guidance thanks to Latin America, Canada and Asia, which isn't exactly new news. "I'm a buyer here," as the overall business remains strong and the valuation is low, he said. Its partnership with Ericsson (ERIC) - Get Report is attractive as well.

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