MORE MATH

Hard to believe but the markets are once again over bought and sell signals are firmly in place on the VIX/VXO and the 2 day RSI numbers are also signalling a time to lighten up.

The VIX/VXO are both about 9% under their respective 10 day SMA's and the 2 day RSI numbers on the major indexes are as follows:

SPX 85

OEX 87

DJIA 89

MID 83

RUT 80

NDX 97

COMPQ 97

Large Cap Growth 96

Large Cap Value 78

Small Cap Growth 92

Small Cap Value 69

Another interesting tidbit, New Highs on the NYSE today (WSJ), 225, vs. 258 last Friday and 288 last Monday, so as markets have made new highs, the New High list has actually shrunk and is in a Negative Divergence with the Big Cap indexes.

So not saying we are going straight down but just something to watch and maybe time again to tighten the stops (broken record) on trading positions.

Captain Kirk with a nice list of randoms and one I found interesting was this from Optionetics which found the SPX to be about 30% under valued. How so, easy, take 1 divided by the 10 year yield (4.65%) and multiply it by the estimated 2007 earnings on the SPX - $94.2. The result - 2,025 or about 30% higher than today.