STOCK MARKET BEARISH -- SHORT

Keybot the Quant is short to start the Wednesday session. The retail sector buoyancy handed the bulls a minor battle victory today. Watch RTH 41.27, now at 41.36, when the opening bell rings. If RTH drops under 41.27, the bears will drive the markets lower. If the RTH stays above 41.27, the bulls will continue to receive upwards market buoyancy.  Watch VIX 18.90, now at 19.72.  If VIX stays above 18.90, the bears will keep the negative pressure on the markets. If the VIX drops under 18.90, the bulls will push the markets higher.

For the SPX starting at 1320, the bulls only need four points higher, to push up and over 1324, if so, the markets will accelerate upwards. The bears need to push the SPX under 1310, ten points lower, and the markets will accelerate lower. A move thru 1311-1323 is sideways action. Watch the SPX:VIX ratio, now under 68 favoring bears. If the ratio pops above 68 this will indicate that the bulls plan on running the indexes higher. Otherwise, the bears remain in control.

7/1/12; 7:00 PM EST EOM EOQ2 EOH1 =

6/29/12; 10:00 AM EST =

6/26/12; 12:30 PM EST = -14 signal line +6

6/26/12; 10:00 AM EST = -30 signal line +7