THE CLOSE

Another ripping day for stocks as the all the major market indexes closed at/near their highs. The DJIA +1.3%, NAZ +1.6% SPX +1.5% RUT +2.8%. Who would have thought the small caps, without the international exposure would rip higher in early December?

Strong sectors- homies, oil service, brokers, real estate, small caps, metals and trannies.

Key stocks- 35 out of 40 green - Leaders- MER KLAC MA DECK ISRG MGM MS RIMM INTC LVS; Laggards- UA VMW TIF BIDU MO KO CELG ICE CME;

NYSE/NAZ internals- 3,100 net green;

NDX- 65 GREEN;

OEX-85 GREEN;

IBD 100-70 GREEN;

VIX- trading under 21 and about 14% under the 10 day SMA- generally not a good time to get long for a short term trade;

RSI (2):

SPX 91
DJIA 92
RUT 90
NAZ 89
MID 95

Technically, we shot through the resistance and are now above all the key 50 day SMA's. Next area to watch on the upside, probably near the 1,525 level on the SPX but I suspect some short term weakness first. Yeah, pretty wrong so far about these resistance levels- also I suspect lots of folks took the OIH dividend that was dumped into accounts today and reinvested the proceeds directly in the OIH. And for those looking for crude to fall back to $75 in a straight line, probably not as it closed up about $3 today. What a shock that the market and crude traded in the same direction.