STOCK MARKET BEARISH -- SHORT -- CAUTION

Keybot the Quant is short going into the Friday session. Today saw the bulls push UTIL directly to 481.36 but price failed only three minutes later.  How does Keybot know these numbers to watch ahead of time?  The bears pushed RTH down under 44.50 at the opening bell but it quickly recovered. UTIL 481.36 remains in play for tomorrow but watch 478.43 into the closing bell. The quant will be tracking UTIL 478.43 all next week. Thus, if the bulls can close UTIL above 478.43 they will be setting up Monday for a potential move by Keybot back to the long side.  If UTIL closes below 478.43 tomorrow, the bears will remain in firm control.

Watch RTH 44.50, JJC 46.45 and VIX 16.80.  Any price move across these levels will cause the broad indexes to sell off another leg lower so the bears are focused on these three. The bulls are focused on UTIL 481.36 and 478.43 as described above.  For the SPX, starting at 1433, the bulls need to touch 1444 to launch an upside acceleration. The bears simply need to see any tinge of negativity in the overnight futures and the SPX will accelerate to the downside after the open. A move thru 1434-1442 is sideways action. Keybot prints a pre-scheduled number at 10 AM so the market action can be updated at that time. JPM and WFC earnings will set the tone pre-market and send the futures either up big, or down big. 

10/14/12; 7:00 PM EST =

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

10/9/12; 10:42 AM EST = +44; signal line is +57; go short 1452; (Benchmark SPX for 2012 = +15.4%)(Keybot this trade = -0.1%; Keybot for 2012 = +15.2%)(Actual this trade = -0.1%; Actual for 2012 = +8.8%)