Editor's Note:

Investors need to stay cautious here. The opening gap higher failed. Stocks eventually faded back toward Friday's lows. Many stocks actually broke down to new relative lows. The market looks pretty fragile here.

Traders may want to wait and see the S&P500 test the 1100 level (or wait for a new bounce from 1100) before considering new positions. We are not adding any new trades tonight. The five new candidates we listed on Saturday are all open.

Trade small positions to limit your risk.

- James