Well we talked a little bit about Greece in last nights video and I basically said its been in that rectangular range and would probably make a decision soon as to its direction. As you may have known, the folks in Greece didn’t really want to play ball with the ECB over the weekend so Greek stocks, as well as other European stocks, took a tumble and that was a drag on our market.
Interestingly though, European etf’s like EWP, EWQ, EWG and EWI actually closed at or near their highs.
It really could have been worse, and I really do believe that we have developed some tough skin over the years in dealing with “Grexit” talk and other contagion type issues. Been there done that and we’ve seen the movie before, so to speak.
The stock market began the new trading week on a cautious note with the S&P sliding below its 100-day moving average (2,089). The Nasdaq though pretty much held support at its 100 day moving average and bounced. The Russell 2000 also had a nice rip off the lows, but the Dow was heavy as UTX dragged.
I’m not necessarily as cautious here as I am bored. In looking at a boatload of charts, not that many names are really jumping up and down here yelling “BUY ME”!!
If you feel like me, then the best advice I can give you is to stay patient and wait for the market to come to you. Don’t force a trade from boredom, wait for an “edge” and the good setup.
The market could start ripping soon, so don’t waste your bullets.
Interesting note: Biotech, the most “risk on” group acted well today and just wont break lower so that’s a good sign for the market in general.
I apologize for the chatroom going on the fritz today. It looks like we are back in business, so if you have a chance come buy and say hi.
See you in the morning.