STOCK MARKET BEARISH -- SHORT -- CAUTION

Keybot the Quant is short moving into the new trading week. The bears need to achieve UTIL 480.65 and/or 477.91, call it 481 and 478, as described in the previous post, and the markets will be dropping in force.  The bulls need to move the VIX back under 13.23 and/or the JJC above 41.50 to regain the bull mojo. If UTIL stays above 481, VIX above 13.23 and JJC below 41.50, status quo, then the equity markets float along sideways until one of the three parameters changes sides.

For the SPX starting at 1631, closing at the lows on Friday, the bears only need to see red futures overnight Sunday and the test of 1626-1627 support should occur in quick order. The bulls need to keep the futures green and prevent UTIL 481 from failing after the opening bell with all their might. Bulls will lose their grip on the markets if UTIL 481 fails.  A move through SPX 1632-1658 is sideways action. Keybot prints one pre-scheduled number this week on Friday morning. Markets remain erratic and unstable, involved in a bull-bear fight for leadership, as the small four-point spread between the algo number and signal line verifies.

6/9/13; 7:00 PM EST =

6/7/13; 9:00 AM EST =

6/2/13; 7:00 PM EST EOM = +36; signal line is +40

5/31/13; 10:00 AM EST = +36; signal line is +41