- New Trades -
(June 28, 2015)
This is it! We are about 48 hours away from Greece defaulting on its debt to the International Monetary Fund (IMF). They owe the IMF about $1.7 billion and no one expects them to make that payment on June 30th.
This is uncharged territory for the market. The global financial system has been preparing for this event for five years. The impact should be limited to just the IMF and ECB. However, it could still generate a lot of volatility in the European and American equity and bond markets. Surging expectations for a Greek default are already causing big moves in the currency market with the euro plunging against the dollar overnight.
Considering all the uncertainty about how the markets might react to this event I am not adding any new trades tonight. Investors should double check their stop losses on their current trades.
I am adding DIS as a new watch list candidate. If stocks do fall on this Greek story we want to use any weakness in DIS as a potential entry point for bullish positions.
Here is a list of stocks on my radar screen. These have potential to be LEAPS trades down the road if the right entry point presents itself. In no particular order:
CVS, HSIC, GD, UNH, TSN, CMA, WBA