Stocks are correcting thanks to growing worries over the EU periphery.
Tomorrow Fed Chairman Bernanke speaks before congress. Stocks may not move much on Wednesday as they wait for any market-moving comments from Uncle Ben. Meanwhile the next major earnings release is not until Thursday.
Considering the current correction in stocks and today's breakdown below support in the S&P 500 it looks like this index is headed for round-number, psychological support near 1300.
I haven't given up on buy-the-dip bullish strategies but we need to be patient. Here are a list of stocks I am watching for potential buy-the-dip trades (SBUX, COH, TJX, BBBY, and TSCO). Plus, a couple of stocks that might be bearish trades are RTN and MS. Shares of both MS and RTN have been sinking on rising volume and just recently broke significant support.
No new candidates tonight.