Equity markets are trading lower but hitting buy signals if you follow the RSI 2 trading strategy - basically says buy when RSI 2 is at/under 10 when the underlying is in an uptrend - above the SMA 200- that is what we have on most major market indexes today.

Another signal generally worth following is buy the SPX when the VIX is more than 10% above its SMA 10- well that one is no where near hitting as the VIX is at the SMA 10.

So I will probably be buying some EWA SSO DIG - as we get a nice rally next week as the holiday kicks in.


Equity futures getting hammered again this morning after the SPX lost 15 points yesterday to close at 1095 with an RSI 2 reading of 15.

One of the reasons equities are down is the rip in the dollar which is up about .7% almost hitting the 76 level.

Gold is down about $7 at $1138 while silver is down about 2% at $18.2.

The VIX not giving much of a buy signal as it is still trading under the SMA 10 at 22.63.

BESPOKE with some GOLD observations;

And another business news choice for those in the NY metro area- suburbs not NYC;

Andrew Sullivan on the Palin book;



Markets are lower this morning but not so bad in light of the big run yesterday - and everyoneknew today was Turnaround Tuesday- SPX -5, NAZ -9 and the DJIA -21.

The dollar is ripping higher this morning as it is up close to 1% at 75.6 after falling nicely yesterday.

Strongest sectors- junk, banks and real estate while retail, metals, oil service, internets and biotech lag.

NYSE- 1060 net losers;

NAZ- 1000 net losers;

SPX- 120 green;

NDX- 22 green;

VIX- 23.06 and about 4% below the SMA 10.

TRIN- 1.13 with down volume about 2x the up.

Market internals are far worse than the indexes indicate so a bigger dip is probably in store later in the day- 3/4 of the key stocks I follow are red - so my guess is lower later- RSI 2 readings near 60 on the SPX so no short term buy or sell signals - that was yesterday- with a sell.