NOON CHECK

Markets continue to trade lower but are off their worst levels as the RUT/MID's continue to lag the big cap indexes.

Strong sectors include utils, metals, defense, insurance and internets while China, brokers, emerging markets, financials and biotech continue to lag.

Market internals continue to be weak with the NYSE at 1,850 net losers and the NAZ at 1,180 net losers.

NDX -20 WINNERS- IACI SIRI WFMI SIRI RIMM GOOG JAVA LVLT; LOSERS- RYAAY SNDK MICC CTSH INFY AMLN DISCA;

OEX -35 WINNERS- TWX GOOG GD AIG AVP CSCO ROK EXC PG CBS BUD LTD -LOSERS- MS C EMC GS EK F LEH BAC MER HD WB;

VIX - continues to trade up about 5% and still in overbought area about 15% above the 10 day SMA;

Down volume 3X Up volume;

TRIN well under 1.0 indicating that the volume is going to the gaining stocks- interesting;

Other stuff:

CROX continues to get crushed - the definition of a broken stock;

WYNN/LVS/MGM all trading down about 2/3%;

Consumers acting well with CL MCD MO PEP PG all green;

Technology also acting OK - with AKAM BRCM CSCO GOOG HPQ NVDA RIMM YHOO all green while XLK HHH AMAT AMZN EBM INTC MOT MSFT TXN are red but near the flat line;

Looks like the support number on the SPX has been 1,497, pivot point S1 support (hit twice so far) and 1,500, the nice round number. Don't know if they will hold into the close but definitely worth watching. And don't forget the old "markets that are weak all day tend to close at/near their lows."

And how long before all the bloggers ask GOOG/etc to pay in euros?