Tuesday, January 26, 2016


Keybot the Quant remains short as the stock market roller coaster ride continues, one day down a couple hundred Dow points and the next day up a couple hundred. The bull-bear fight is ongoing with the algo number and signal line displaying only a one point difference. The bulls need either VIX below 19.30, JJC above 23.88 and/or UTIL above 597 to prove the relief rally is real. If any one of those three parameters turn bullish, Keybot will likely flip long. The bears need UTIL under 577.33 which would unleash carnage in the stock market. If the parameters remain as is, the stock market will float sideways with a slight upward bias.

For the SPX starting at 1904, the bulls need to touch 1907 and the upside will accelerate to 1910-1912 immediately then to 1920. The bears need to push under 1879 to regain their mojo. A move through 1880-1906 is sideways action for Wednesday. The bears are driving the bus but the bulls also have their hands on the steering wheel as the vehicle careens down the boulevard. Pay attention to volatility and copper.

1/31/16; 7:00 PM EST EOM =
1/29/16; 10:00 AM EST =
1/26/16; 10:00 AM EST = -39; signal line is -38
1/25/16; 9:36 AM EST = -40; signal line is -39
1/24/16; 7:00 PM EST = -24; signal line is -39 but algorithm remains short

No comments:

Post a Comment

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