Premarks {05.13.12}

Market is looking like it will be down 10 points on the open.  Should that occur stocks will have fallen about 6% from their highs.  It has been a painful 6% and many individual names have fallen much more than that.  Stocks are not quite oversold for a rally yet today but they are getting there.  The percentage of stocks above their 50 day moving averages fell to under 35% on Friday.  That's getting us down to a level where rallies {even if they move higher just for a bounce} is likely.