The Fear and Greed Index has slipped deep into “extreme fear.” This is usually bullish, although it reflects enormous angst among investors.

A few sectors have begun to turn, with six sectors in the green. The defensive sectors Health Care (XLV) and Consumer Staples (XLP) are in the lead. Health Care (XLV) is getting a boost from Medtronic’s (MDT), which reported a double beat with raised guidance. Meanwhile, Technology (XLK) and Consumer Discretionary (XLY) are lagging.

Keep an eye on the NASDAQ Composite, it needs to get back above its 50-day.

There are dozens of stocks on our watch/buy list that we consider are oversold.