NOON THOUGHTS

Markets continue higher but are well off their highs and some sell bells are probably ringing. The DJIA is +19, NAZ +9 and SPX +4. The RUT/MID are the best performers of the major indexes.

Strong sectors include metals, oils, gaming, retail, semis, small caps, trannies and small cap growth; worst sectors include drugs, utilities, real estate, airlines and internets.

Notable big gainers include WMT MA BSC LEH BOT NYX XLE OIH VLO TSO INTC GOOG IBN GILD BHP FCX SSRI and PAAS.

Notable losers include GS AAPL SLG LM CME PG GE SNDK MSFT COST MGM DNA SGP and MRK.

Biggest winners include MICC MRVL DELL WYNN LVLT LTD LEH TGT COP PCR MT GTI KSU and POT.

Biggest losers- HURC AFAM SYNL ROLL T ETR EXC KO SO PG ATVI VMED XMSR XLNX and NTAP.

So where/why are sell bells ringing?

Volatility indexes are finally getting oversold and now trading at/near 5% below their respective 10 day SMA's and at 20 day lows.

The 2 day RSI readings on all the major indexes is in the mid 90's.

Almost 40% of the individual components of OEX/NDX are trading with 2 day RSI readings over 90.

Finally, many many sectors/stocks hit new 20 day highs this morning and that is more of a sell than a buy signal to this "reversion to the mean" trader.

To me, those are all very overbought signals and I am taking stuff off the table.