MIDDAY THOUGHTS

Markets continue to trade lower but are hitting over sold levels on a short term basis- looking to scale in with the low RSI numbers and the SMA 50 rite near these levels- and looking for the trade to last about a week or so.

Sectors showing strength include bonds, ags and metals while oils, homies, semis and retail lags.

NYSE/NAZ internals also have been improving and a nice really before the day ends also wouldn't surprise me.

VIX- hanging near the flat line in front of the weekend despite the market drop;

Down volume about 3.5X the up;

Gold also looking interesting here for a short term move higher-