MORNING NIGHTMARE

Markets are crushed this morning on the heels of a crummy jobs report and a rising level of unemployment. Not sure that the win last night by Mike Huckleberry was very bullish either.

Strongest sectors - biotechs, utils, China, telecom and insurance while retail, airlines, homies, semis and trannies lag.

Market internals dreadful with 3,200 net losers on the NYSE and NAZ while the NDX/OEX show about 20 winners of the 200 issues. IBD 100 also with 10 issues in the green;

WINNERS- DWSN EDU SLT HMSY ESRX GENZ DISH ESRX GILD AMAT CELG EXC KO PG ALL CI CL MO T SO AES;

LOSERS- just about everything else;

VIX- up 5% to the 23.65 level and 13% above the 10 SMA;

RSI (2) levels near the 1 level on most major indexes;

Technically, we are below all key moving averages and the next area of support appears to be near 1,420 on the SPX and 12,800 on the DJIA. I suspect a big rally is around the corner just don't know how far away that corner is.

And if you think your stocks are off to a bad start, check out these sectors after 2+ trading days:

Semis-7%

brokers-5%

banks-5%

retail- 7.5%