Thursday, January 24, 2013


Keybot the Quant remains long after another odd market day.  The quant identifies the utilities as the key sector influencing the broad indexes right now and today proved that with UTIL dancing back and forth across 466.79 leading the markets.  This number remains important moving forward. The bears got nothing unless they push UTIL under 466.79. The bulls will send markets higher, the SPX back up over 1500, if UTIL stays above 466.79. In addition, the next leg higher for broad indexes will be triggered by UTIL 475.48, if this occurs before the 4 PM EST close tomorrow. Next week this number will increase to 483.76 so at the Friday close, if UTIL is staying above 466.79 and catapulting higher throughout the day, watch the 483.76.  If the bulls go thru UTIL 483.76 next week the SPX will be into the 1520's heading higher. To keep it simple, watch UTIL 466.79 at the opening bell tomorrow. The algo is tracking copper now as well, it is the second most influential sector currently affecting markets.  Watch JJC 45.80, currently creating bullishness. Also, watch VIX 16, now under 13 and creating bullishness.

For the SPX starting at 1492, the bulls have to push above 1502 and that will send price for a test of the strong 1505 R immediately.  The bears need to push under the 1489 resistance level, which will send price to a test of 1485 in quick order. A move thru 1490-1501 is sideways action. The markets are highly unstable and erratic. Do not take the upside for granted. Do not be complacent. Stay alert. UTIL 466.79 will provide the immediate answer at the opening bell.

1/27/13; 7:00 PM EST =
1/24/13; 2:43 PM EST = +63; signal line is +36
1/24/13; 1:43 PM EST = +47; signal line is +34

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