HAPPY STARTS

Equities have ramped higher this morning on the heels of good econ news out of China and an up beat ISM number reported at 10.00 AM EST.

SPX +10.6, NAZ +20 and the DJIA +105.

Strongest sectors- gaming, emerging markets, oil service, reits and real estate while metals, bonds, brokers, retail and biotech/drugs lag.

Market internals:

NYSE - 1760 net green;

NDX - 73/25;

SPX 415/80;

RUT 1370/415

VIX down 1% at 21;

Gold down $7 at 1353;

Crude up almost $2 at $83.25.

Equity winners- APOL WYNN PCAR INTC NWSA BHI RTN OXY GILD EMC NSC MSFT;

Equity losers- AVP AMZN TXN WFC ABT USB VRSN FSLR ADSK SPLS FLIR YHOO;

RSI 2 - levels above 90 on most major indexes;

Still expecting a tag of the SPXM 1200 level - and maybe a pullback from there later in the week as Bernancke and others hit the front page- For today buying the pullbacks probably the best strategy.