Tuesday, January 13, 2015

STOCK MARKET BEARISH -- SHORT -- CAUTION -- TURN MAY BE IMMINENT

Keybot the Quant remains short. The market drama and theatrics in 2015 continues. Equities continue to print huge point swings in choppy sideways trading. The SOX regains 674.20 so the bulls receive upside fuel. Watch the financials; XLF 24.24. XLF is at 24.03 in the bear camp right now creating market drag but actually came up to tap the critical 24.24 bull-bear number this morning threatening to break out. If XLF moves above the 24.24 the bulls will be running stocks strongly higher. Financial earnings results begin reporting tomorrow so the market whipsaw behavior should resolve over the next couple days. If banks report happy earnings and trade higher so will stocks. Disappointing bank earnings will send the stock market lower.

Watch the important NYA 10800 level (40-week MA). NYA was up to 10765 or so and threatening to move higher but has since retreated. Very simply, bulls need XLF 24.24 and bears need SOX 674.20. One or the other will flinch and bulls win with higher financials and bears win with lower semiconductors. If the XLF moves above 24.24 and the SPX moves to 2057 and higher, Keybot will likely flip long, hence the imminent turn status is in the title line. Markets are very erratic and unstable. Watch financials and semi's.

1/16/15; 10:00 AM EST =
1/13/15; 9:36 AM EST = +19; signal line is +35
1/12/15; 12:54 PM EST = +3; signal line is +36

No comments:

Post a Comment

Note: Only a member of this blog may post a comment.