Sunday, July 5, 2015


Keybot the Quant is short going into the new week of trading. Financials are the top influence on market direction currently. XLF 24.62 is the bull-bear line in the sand; price is at 24.64 two pennies on the bull side. Whichever way XLF pivots at the opening bell, the broad market will follow. If XLF drops under 24.62, the market bears will receive downside fuel and stocks will drop.

Market bulls need NYA above 10897 (now at 10865) to prove they can take equities higher with a sustainable rally. For the bears, if XLF fails as described above, and the SPX drops under 2050, stocks can go into free fall.

For the SPX starting at 2077, the bulls need to push above 2085 and bingo, the upside will accelerate to 2091 in a flash. The bears need to push under 2071 to accelerate the downside quickly into the low to mid 2060's. A move through 2072-2084 is sideways to begin the new week of trading. Keybot does not print any pre-scheduled numbers this week. Bulls need good news on banks while bears are cheering for bad news on banks.

7/12/15; 7:00 PM EST =
7/5/15; 7:00 PM EST = -22; signal line is -1
7/2/15; 3:51 PM EST = -22; signal line is +1

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