AFTERNOON TRADE

Markets are bouncing around in a tight range this afternoon with the DJIA generally in green territory while the NAZ continues to lag in light of the INTC news.

Nice to see sector strength in banks, retail, financials, real estate and homies, while ags, metals, oils, utils and tech lags.

Market internasl have looked better than the markets all day and the NYSE is now +440 and the NAZ +500;

Lots of High Tick readings - bullish;

NDX/OEX- about 70 net green on both indexes;

IBD 100- continues to struggle with 25 winners in light of all the ags, metals, oils and tech;

VIX trading near the flat line and refuses to go far in either direction. Adam and VIX and More both with some commentary on why. I will go with inverse double ETF's taking capital from put buys.

Nice to see a rally and with SPX earnings still at/near $100 for 2008, stocks are cheap. Even at $90 they are ok and in a few years they probably come in at $110/$115, so compared to bonds they seem be the place to put cash. Time will tell.

Keep in mind these were the SPX op earnings numbers during the past few years:

2004-$68

2005 $76

2006 $88

2007 $86

2008 $100 Estimated