NEW YORK (TheStreet) -- All three major U.S. indices are slightly lower on Wednesday, after suffering through a violent selloff on Tuesday. The euro continues to move lower and that's unsettling to many different markets, Joseph Terranova, chief market strategist for Virtus Investment Partners, said on CNBC's "Fast Money Halftime" show. 

Many investors had anticipated some sort of pullback in the U.S. dollar, but that hasn't happened, Terranova added. With the continued rally in the dollar, the Federal Reserve may not have to raise rates, as the currency strength acts as its own source of fiscal tightening. 

The declining euro and fall in oil prices are both positive catalysts for the European economy, according to Steve Grasso, director of institutional sales at Stuart Frankel. It seems as though investors are moving out of stocks and into cash until there is more clarity on what the Fed will do with interest rates. 

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There will be a "big rip" to the upside in stocks if the Fed hints at not hiking interest rates in June, said Pete Najarian, co-founder of and It's encouraging to see financials, semiconductors and pharmaceutical stocks rally, he added. 

"I'm not that worried" about a rate hike, said Jim Lebenthal, president of Lebenthal Asset Management. The hike will likely be small, roughly 25 basis points, which won't derail the economy or the stock market. It's hard to say the "sky is falling," he added.

The euro has already dropped 11.5% versus the U.S. dollar in 2015, pointed out Jon Najarian, co-founder of and The rapid decline is putting pressure on stocks, much like the volatile and falling oil prices did earlier in the year, he reasoned. Najarian is a buyer if the S&P 500 declines to 2,030.

Regardless of whether the 10-year Treasury yield rises or not, Jon Najarian said investors could focus on the online brokerage companies, which will benefit from an increase in short-term rates. 

With the Comprehensive Capital Analysis and Review (CCAR) results due out after the close, the trading panel took a closer look at financial stocks. 

Lebenthal said Citigroup (C - Get Report) has more downside than upside from its results, because if the bank doesn't meet the Fed's metrics, investors will be highly disappointed. However, he doesn't believe the bank will miss, like it has in each of the past two years. It also has one of the lowest valuations in the industry, he said. 

Najarian agreed, saying he is long Citigroup and believes the bank will pass the results. If the company is able to pay out a dividend, it will attract more investors, he reasoned.

Terranova added that expectations for Bank of America (BAC - Get Report) and Huntington Bancshares (HBAN - Get Report) seem relatively low, meaning the stocks could have upside if the results are better than expected. 

The conversation shifted to Apple (AAPL - Get Report), after Toni Sacconaghi, senior analyst at Bernstein, said the Apple Watch could disappoint investors in the short-term, due to the fact that the user's iPhone must be tethered to the device and the watch has limited battery life. 

However, in the longer term of three to five years, the watch could become a health monitoring device that is "essential for all people," Sacconaghi reasoned. If it can work independently of an iPhone and has a longer battery life, Apple could potentially sell hundreds of millions of these devices, he said. 

Sacconaghi is also bullish on Apple's margins, saying gross margins seem likely to increase going forward, due to the Apple Watch, Apple Pay, sales from the App Store, and the next generation iPhone. He has a buy rating and $135 price target on the stock.

Terranova said now is not the time to buy Apple, reasoning that it could have slightly more downside ahead. 

For their final trades, Pete Najarian is buying Abbott Labs (ABT - Get Report) and Jon Najarian is a buyer of Take-Two Interactive Software (TTWO - Get Report). Lebenthal said to buy Citigroup and Terranova is buying PNC Financial Services Group (PNC - Get Report).