MIDDAY UPDATE

Markets are flopping around near the noon hour as the DJIA is +60 while the NAZ is down 11- just a bit messy as tech lags.

Strongest sectors- energy, drugs, biotech, bonds, banks and defense;

Weakest links- gaming, retail, internets, brokers, tech and trannies.

WINNERS- AXP UNH DVN XOM DD LIFE VRTX IACI CEPH ILMN GENZ LBTYA;

LOSERS- BIDU WYNN EXPE PCAR SBUX AMZN EMC NOV BK BNI WAG MS;

NYSE- 225 net losers;

NAZ- 100 net losers;

NDX- 33 GREEN;

SPX- 260/235;

VIX- 24.5 and about 10% above the SMA 10;

TRIN- 1.02- up and down volume almost even with a slight nod to the downside;

RSI 2 levels clearly over sold with the SPX at 30 and the NAZ/NDX between 8 and 10.

Gaming stocks getting whacked hard as MGM is down 9%+ - didn't investigate as to why - but its ugly-

Overall- still expecting a bounce over the next week and a retest of the 1100 level on the SPX - of course if the dollar continues higher - it is not going to happen- the dollar now +.20% on the day and very over bought with an RSI 2 near 90.