THE OPEN

Markets are ripping higher as the gap and go on strong gaps theory works yet again. The SPX +25 and the NAZ +50 after 35 minutes of trading.

Strong sectors include - financials, homies, gaming, shipping, trannies and real estate while metals, drugs and utils lag.

NYSE- 2380 net green;

NAZ- 1730 net green;

NDX-95 GREEN;

OEX- 95 GREEN;

VIX- down 2 at 37;

TRIN- .7 with upside volume about 15x the down;

Internals over all as strong as they get with 4650 green and 560 stocks red on the NYSE/NAZ;

BIGGEST WINNERS- WFC BAC COF USB JPM WYNN FLEX PCAR EXPE STLD SPLS JOYG;

BIGGEST LOSERS- JAVA COST BBBY WMT MO PM ABT SO MRK ABT CPB RAI;

Markets of course hitting the over bought levels at RSI (2) 80+ on most major market indexes- holiday tomorrow so maybe some backing and filling through midday and then another move higher in the last hour of the day.