MIDDAY MARKETS

Equities are mixed with NAZ green and the DJIA red while the SPX is flat- clear strength in tech thanks to RIMM and ORCL while weakness in BA PG and CAT.

Strongest sectors nat gas, biotech, banks metals and semis while airlines, gaming, retail, real estate and ags lag.

NYSE-425 net losers;

NAZ- 60 net winners;

SPX- 175/320;

NDX- 47 GREEN;

VIX- higher by 1.5% at 22.85 and about 4% above the SMA 10.

TRIN- .72- as BAC and C skew it to the bullish side.

The dollar causing all kinds of problems for equities but surprisingly gold is still green and has bounced from the lows- thinking we are heading lower and putting out shorts with SDS.

MORNING DIP

Equities getting beat up today as the dollar moves on up and is higher by about 1% at the $78 level.

Gold getting hit hard as it is down by $24 at the $1,115 area.

NYSE-1400 net losers;

NAZ- 1050 net losers;

SPX- 125/370;

NDX 10/89;

TRIN- 2.2 with down volume about 6x the up;

VIX- 21.55- higher by 5% and about 2% under the SMA 10.

Strong sectors- nag gas, banks, junk, energy and retail while metals, gaming, emerging markets and airlines lag.

Energy starting to outperform again and the trade of long XLE short SPX starting to work -

Metals may also be worth a shot here as the RSI 2 on the DXY is approaching 97- other interesting RSI levels as follows:

SPX 20

QQQQ 20

DJIA 10

RUT 41

EEM 15

EWA 6

EWC 26

EWH 14

EWZ 5

I bought some VALE and looking to add some EEM/EWA as they are under performing of late but suspecting that may change soon enough.

THE MAN

Equities are trading higher after turnaround Tuesday came in as expected yesterday SPX +6.7, NAZ +13.6 and the DJIA +46.

Strongest sectors- metals, semis, energy, homies, brokers and airlines while defense, banks, junk, biotech and retail lags.

NYSE- 1200 net green;

NAZ- 700 net green;

SPX- 388 GREEN;

NDX- 82 GREEN;

WINNERS- AA WY SLB HAL XRX DVN DOW NVDA HANS ADBE BRCM STX MRVL LOGI;

LOSERS- STLD GILD ESRX INTC FSLR LINTA PPDI C BA LOW USB HON RTN ETR MRK;

VIX- down 4% and about 6% under the SMA 10.

TRIN- 1.32 with up volume almost double the down;

The dollar is under 77 again and down about .4% whild gold is higher by 1.15% or about $13.

Markets probably in a tight range for the rest of the day and the week so I anticipate taking some gains here and doing little else for the balance of the week /month.

TT TOMORROW

Equities meandered most of the day but did close higher with the SPX +7.7, NAZ +22 and the DJIA +29.5 and held back by XOM.

Strongest sectors- gaming, nat gas, metals, real estate and small caps while internets, brokers, emerging markets and airlines lagged.

NYSE- 1370 net winners;

NAZ- 900 net winners;

SPX- 415 green;

NDX- 87 green;

VIX- down 2% at 21.15 and about 4% under the SMA 10.

TRIN- 1.17 with up volume about 2.5x the down;

RSI 2 levels as follows:

SPX 93

NDX 82

COMPQ 94

RUT 92

DJIA 92

VIX 12

VXX 7

Markets over bought but we are in very bullish time of year - but then again tomorrow is TTuesday- so this fish took some stuff off QLD- and looking for a quick pull back.

MORNING TRENDS

Equities are trading higher this morning but it seems pretty uninspiring- SPX +3.75, NAZ +7 and DJIA +14.

Strongest sectors- nat gas, energy, ags, junk, drugs and defense while internets, brokers, airlines and banks lag.

NYSE- 625 net green;

NAZ- 150 net green;

SPX- 350 GREEN;

NDX- 71 GREEN;

TRIN- 1.21 with up volume a little bit better than down-

VIX- 21.25 and down 1.6% - trading 3% under the SMA 10.

The dollar is bouncing around this morning and seems to be fairly trendless

Not expecting much today as it just feels like equities are tired and won't go up or down from these levels without some new catalyst- .