MIDDAY LULL

Markets continue to trade higher with the DJIA +38, NAZ +28 and SPX +11. The 50 day SMA on the SPX a hair above at 1488 and may provide some initial resistance.

Strong sectors include tech, oils, metals, internets, semis, biotechs and airlines while retail and defense continue to lag. Nice to see the old leaders of metals and oils taking the baton and maybe resuming their leadership quality.

Market internals are green all around with about 965 net green on the NYSE and 700 net green on the NAZ.

The OEX with more than 70 winners led by NXY EP TXN EXC EK SLB COP AEP GS AMGN;

LOSERS- HD TGT AVP RTN USB ABT CMCSA ABT BA CL BAX NSC.

The NDX with about 80 gainers led by YHOO GRMN VRSN PTEN AAPL AMZN JNPR PDCO JAVA GILD and SNDK.

Volatility indexes down a tade but still trading at/near their 10 day SMA's.

Others stuff:

Ags all green led by AGU CNH DE;

Banks- mixed with AIB MA STT green and C DFS MTB USB WFC red;

Brokers - green with the exception of LM- NMX also red;

Biotechs - all green led by AMGN DNA GENZ GILD;

Metals all green led by BHP FCX GDX GLD SLV SSRI PAAS;

Oils all green led by APC CAM CNQ EPL FTO HP NFX NXY RIG SLB TSO VLO XTO;

Retail primarily red led lower by DECK HD KSS PVH TGT;

TECH primarily green led higher by HHH SMH AAPL AMZN GOOG IBM SNDK TXN YHOO- red are AKAM CTSH RIMM;

Markets look like they may ramp into the close so I plan on buying afternoon dips.