Watching the Trade on the Opening Bell

I woke up Sunday with Greece dominating the headlines. There are two points that my good friend Joe Cusick from MoneyBlock.com said to me for context. First, we have known about Greece for over five years; second, there are over 15 states that have a GDP that is larger than Greece.

You are not seeing our system up in arms when we hear that Illinois is close to junk bond status. So when I say gap down, while impressive, is not the move in the market that we want to watch.  Don’t get your knickers in a knot just yet. Instead, we need to watch price action after the gap and see what happens when the dust settles.

This time of year trading volumes are light and this can spark short-term uncertainty. Shall I dare say it…? “VOLATILITY”.  I will watch this morning trade and mange winners to script. I will not be looking to buy into weakness until after the morning trade.

Have a great trading day.