LOWER OPEN

Markets open lower and those 2 day RSI readings over 90 for 5 days in a row were a pretty ominous sign for the markets.

Strong sectors include biotechs, retail, drugs, oils and semis. Leading lower are gaming, real estate airlines, financials and brokers.

Key stocks- generally lower with the exception of MSFT GOOG MO and GE. The biggest losers include LM and MER.

Market internals bearish but not horrible as the NYSE/NAZ show a net of 1,700 losers.

The major market internals finds about 3 up to 7 down on the OEX; 4 up to 6 down on the NDX and 15/35 up to down on the SPX.

Volatility indexes are higher again and the VIX/VXO combo trades about 3% above their respective 10 day SMA's. The 2 day RSI on the major indexes is back to buy area on the SPX/DJIA/IWM as we now trade at/near the 10 level. I am starting to dip back in to some index ETF's.