THE CLOSE

So much for the break under 1,310 as Gasparino and his ABK crew and Johnny Sunshine from CSCO were there to help save the markets for another day.

The SPX hit a low of 1,307 but closed considerably higher at 1,327 after Charlie and Johnny did their work.

Strongest sectors- utils, airlines, internets, homies, semis, trannies and tech while metals, oils, ags, defense and brokers lagged.

AAPL RIMM BIDU MER MA ICE were to the good while GOOG continues its trek lower with the next stop of perhaps $400.

As usual all the brokers and banks were down but well off their lows- MBI ABK both up but not as much as one would think in light of the Gasparino story.

Market internals- still closed pretty poor with 1,700 net losers between NYSE and NAZ;

NDX- 45 GREEN;

OEX- 33 GREEN;

DJIA 6 GREEN;

TRIN- 1.05

VIX -lower by 2.5%;

Up volume about .5 of Down volume and big over all at 1.75B shares traded;

Not sure I would be in a great rush to buy the markets as overhead resistance is near by at 1,340 and then 1,360- And until it stops working- expect most traders to sell those levels aggressively.

The long NDX short SPX trade also looks ok here on the reversion of to the mean.