CLOSING RALLY

After a rip lower at midday the markets closed mixed with the DJIA +15, NAZ +1 and the SPX -1.5.

Strongest sectors included retail, ags, drugs, oil service and internets while metals, fins, telecom, semis and brokers lagged.

SPX 200 GREEN;

NDX- 37 GREEN;

OEX 50 GREEN;

VIX slightly higher at 31.27;

TRIN 1.24 down volume about 3x the up;

Bought a few tranches of SSO today- some at 23.69 and some at 23.4- so looking for a rally as we are way over sold -

RSI (2) levels:

SPX 7

NDX 23

DJIA 22

The plan is to unload the SSO into a rally bringing the RSI 2 levels up to the 70 or greater levels- not sure it will be here tomorrow but its a pretty high probability trade to be closed in the next few days.

Own some FAX - see the chart and looking to add more as it yields almost 8% and has been a solid performer for many many years-