THE WRAP

Markets closed higher led by the NAZ/NDX with the SPX/DJIA lagging far behind.

Strong sectors were trannies, reits, retail, semis and shipping while oils, ags, metals and large value lagged.

NYSE- FLAT internals;

NAZ- 400 net winners;

NDX- 80 GREEN;

OEX- 65 GREEN;

IBD- 40 GREEN;

VIX- down 3% at 21.5;

TRIN- .8 with up volume a bit more than down on 1.2 B shares traded;

GOLD -$900;

CRUDE $132.5;

Didn't buy any DIG or OIH as the trend was too strong on the downside - and a big pow wow in Saudi Arabia this weekend which could be bearish so will hold off for now-

Did buy some QID as I doubt the markets rips higher from here- as the 1350 area looks like resistance on the SPX and 1325 support-

GS was up another $4 today and it is heading into resistance near the $189 level- so a heads up to the longs - and if we get there it could also be a temporary top in the major indexes.