STOCK MARKET BULLISH -- LONG -- CAUTION

Keybot the Quant remains long after another day of idling along without printing any numbers. The markets moved sideways today after the upside orgy yesterday.  Weakness in the utilities sector was quite dramatic today, UTIL dropping to a 454 handle now only ten points above the dangerous 444 level for this week, which represents where the broad markets will fall into trouble. In addition to watching UTIL 444 for the remaining two days this week, also watch commodities and copper, CRB 313 (now at 315.17) and JJC 48.75 (now at 49.24). The dollar was up today, euro down, gold down, copper down, commodities down, oil down, equities down (SPX), which is the expected relationship, so the potential asset relationship change over the last three or four days where the dollar and equities move in the same direction now appears to be a blip.

For the SPX for Thursday, starting at 1394, the market bulls need to touch the magical 1400 handle. Today the bulls came within 58 pennies, and failed. If 1400 hits, an upside acceleration move will occur.  The market bears need to push four points lower, to see the 1390 handle disappear, if so, the downside will accelerate in short order.  A move thru 1391-1399 is sideways behavior.  Markets are unstable, stay cautious. Watch UTIL 444, JJC 48.75 and CRB 313, if any of these three fail, the bears will regain control of the markets and push them lower, otherwise, the bulls are cruising.

3/18/12; 7:00 PM EST =

3/16/12; 10:00 AM EST =

3/11/12; 7:00 PM EST = +76; signal line is +67

3/9/12; 9:00 AM EST = +76; signal line is +66

3/8/12; 12:04 PM EST = +76; signal line is +66; go long 1364; (Benchmark SPX for 2012  = +8.4%)(Keybot this trade = -1.6%; Keybot for 2012 = +3.1%)(Actual this trade = -1.6%; Actual for 2012 = +5.8%)