BEARISH CLOSE

Markets hit their highs early in the day after the futures were flying higher but closed at the flat line on the SPX and below the 875 break out level at 873.

Strongest sectors included- retail, semis, ags, trannies, naz and internets while metals, energy, biotech and banks lagged.

NYSE- 400 net winners;

NAZ - flat internals;

NDX- 70 GREEN;

OEX- 45 GREEN;

VIX - up 1% at 36.4;

TRIN 1.19- with upside volume a hair better than down.

Crude closed flat at $51 and the 10 year note is creeping on up at 3.12%;

SPX still in over bought area with RSI (2) level of 80 - other major indexes in the same vicinity and don't look now but the RUT hit that 500 area this morning and closed about 3% lower from that point.

SPX 875 the break out point from yesterday on the heels of the FED announcement- was rejected yesterday and again today as it looked like clear sailing this morning-

I am not giving up on the bull as for not its a buy the dip market until proven otherwise and there is plenty of support down below these levels-

Dougie - going back to the bear area- but I doubt he will be there for long.