NEW YORK (TheStreet) -- The Greece drama continues to swirl, as concerns mount about whether the struggling country will come to new terms on a debt deal or be forced out of the eurozone. After Monday's sizable losses, U.S. stocks are on the rebound on Tuesday. The S&P 500 is up 0.4% on the day, only slightly erasing its more than 2% drop from the day prior.
While the session started off strong, investors are using these opportunities to sell stocks, Joseph Terranova, senior managing partner for Virtus Investment Partners, said on CNBC's "Fast Money Halftime Report." Selling into the strength will be a likely pattern for the next few weeks until investors get their hands on more economic data and until earnings begin to come out, he said.
For now, Terranova recommended investors remain patient and refrain from doing much at the moment.
Market participants should watch the 200-day moving average on the S&P 500, advised Steve Grasso, director of institutional sales at Stuart Frankel. Currently, that level is at 2,054 and has acted as support in previous years. If it fails this time, Grasso noted, stocks could be headed lower. At the moment, it's a "very fragile market," he said.
Investors simply seem to be uncertain, said Josh Brown, CEO and co-founder of Ritholtz Wealth Management. Although the uptrend in stocks has leveled off and just 6% of stocks in the S&P 500 are still trading strong in the short-term, Brown says a bounce could be in the cards.
Despite Monday's sizable decline, it just hasn't given investors the buying opportunity they've been waiting for, said Pete Najarian, co-founder of optionmonster.com and trademonster.com. A number of strong performers, such as JP Morgan (JPM) and the Health Care Select Sector SPDR ETF (XLV) , continue to trade very well, despite many investors looking for a deeper decline.
However, there's still nervousness about China, Greece and Puerto Rico, which is evident in the CBOE Volatility Index undefined. The index remains elevated on these concerns, Pete Najarian said.
Jon Najarian, co-founder of optionmonster.com and trademonster.com, said investors shouldn't expect anything new to develop with Greece -- for today. He said he'll look to remove some of his long Volatility Index and short S&P 500 positions once the Volatility Index gets above 20. He is using both of these trades to protect his portfolio's long positions.
As for China, Jon Najarian said the People's Bank of China may need to step in after the country's index 26% decline from its highs to the recent low, which is a dramatic fall for any security, let alone an entire index, he noted.
This article is commentary by an independent contributor. At the time of publication, the author held no positions in the stocks mentioned.