Wednesday, February 4, 2015

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

Keybot the Quant remains short as the erratic sideways circus continues but wants to go long as soon as the internal program parameters latch. NYA is on each side of the critical 10809 but over the last hour remaining above helping bulls. XLF keeps teasing 23.87 but remains under helping bears. SOX is key at 669.03 teasing near the 670.10 bull-bear line in the sand that would launch stocks higher. VIX is 17.33 causing bearishness above the critical 16.48 that Keybot identifies.

So lots of drama is occurring with the algo champing at the bit to go long right now with the algo number one tick above the signal line. The algo number and signal line tracking dead together verifies the sideways behavior of markets. Something will eventually give and the parameters listed will light that path forward. If the SPX moves above 2050-2051 (now at 2050-ish), and remains above, Keybot will likely flip long. The bears need to push NYA under 10809 (now at 10830) pronto or they are toast. Bulls need to push SOX only about one point higher, above 670.10, and a huge upside party will result.

2/8/15; 7:00 PM EST =
2/6/15; 9:00 AM EST =
2/4/15; 10:50 AM EST = +24; signal line is +23 but algorithm remains short
2/4/15; 10:29 AM EST = +10; signal line is +24
2/4/15; 10:07 AM EST = +24; signal line is +25
2/4/15; 9:36 AM EST = +10; signal line is +25
2/3/15; 2:50 PM EST = +24; signal line is +25

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