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

Keybot the Quant flips short today at SPX 1973. The bulls, however, do not give up and boost stocks into the closing bell. Keybot remains short but already wants to whipsaw back to the long side but the parameters are not latching so the model remains short. The algo number is only 7 points from the signal line so the bulls and bears are battling for control. If the SPX moves above 1993, Keybot will likely flip long with a whipsaw move. If there is a large gap-up move on Friday morning, the algorithm will likely not flip long until about 90 minutes pass. If bullish, you would prefer to see a slow, small and steady creep higher tomorrow morning after the opening bell and not a gap-up.

Bears will win with lower financials while bulls will win with higher commodities. Bears need XLF under 21.80 as soon as possible. Bulls need GTX above 2150 as soon as possible.One of these will flinch and indicate broad market direction tomorrow. Flip a coin.

Bulls need GTX over 2150 and SPX over 1993 and they will be celebrating singing songs and drinking liquor into the weekend. Bears need XLF under 21.80 and the SPX to remain under 1993 and heading lower if they want to celebrate. Listen for news on the banks overnight.

For the SPX starting Friday at 1990, the bulls need to push above 2005 to quickly accelerate price above 2010. The bears need to push under 1969 to accelerate the downside to end the week. A move through 1970-2004 is sideways action for Friday.

For the last trade, the algo gains almost +2% and the actual trading gains almost +4%. The SPX benchmark is down -3.5% thus far this year. The algorithm program is up +10% thus far this year and the actual trading is up +18% a robust start to the year.  Keybot exited SSO and entered DXD. If a whipsaw move occurs tomorrow back to the long side, the algo would drop into a single ETF mode and shun the leveraged ETF's for 35 days due to the erratic volatility. 

The bears are driving the bus but the bulls already have their hands on the steering wheel. Watch banks and commodities.

3/13/16; 7:00 PM EST =

3/10/16; 3:54 PM EST = +51; signal line is +44 but algorithm remains short

3/10/16; 2:46 PM EST = +65; signal line is +43 but algorithm remains short

3/10/16; 2:45 PM EST = +49; signal line is +42 but algorithm remains short

3/10/16; 2:15 PM EST = +35; signal line is +41

3/10/16; 1:27 PM EST = +49; signal line is +41 but algorithm remains short

3/10/16; 12:39 PM EST = +35; signal line is +40; go short 1973; (Benchmark SPX for 2016 = -3.5%)(Keybot algo this trade = +1.8%; Keybot algo for 2016 = +9.9%)(Actual results this trade = +3.8%; Actual results for 2016 = +17.5%)

3/10/16; 12:27 PM EST = +35; signal line is +40 but algorithm remains long

3/10/16; 9:36 AM EST = +51; signal line is +40

3/9/16; 1:37 PM EST = +65; signal line is +38

3/9/16; 1:28 PM EST = +51; signal line is +37

3/9/16; 11:27 AM EST = +65; signal line is +35

3/9/16; 10:57 AM EST = +51; signal line is +33

3/9/16; 10:42 AM EST = +65; signal line is +32

3/7/16; 1:19 PM EST = +51; signal line is +30

3/7/16; 12:43 PM EST = +65; signal line is +28

3/6/16; 7:00 PM EST = +51; signal line is +26

3/4/16; 9:00 AM EST = +51; signal line is +24

3/1/16; 2:49 PM EST = +51; signal line is +23

3/1/16; 2:23 PM EST = +35; signal line is +22

3/1/16; 1:11 PM EST = +51; signal line is +22

3/1/16; 10:07 AM EST = +35; signal line is +21

2/29/16; 7:00 PM EST EOM = +21; signal line is +20

2/29/16; 1:35 PM EST = +21; signal line is +20

2/29/16; 11:15 AM EST = +35; signal line is +20

2/28/16; 7:00 PM EST = +21; signal line is +20

2/26/16; 1:23 PM EST = +21; signal line is +21 but algorithm remains long

2/26/16; 1:03 PM EST = +35; signal line is +21

2/26/16; 12:07 PM EST = +21; signal line is +20

2/26/16; 11:54 AM EST = +35; signal line is +19

2/26/16; 11:35 AM EST = +21; signal line is +17

2/26/16; 10:39 AM EST = +35; signal line is +16

2/26/16; 10:14 AM EST = +21; signal line is +14

2/26/16; 10:00 AM EST = +35; signal line is +12

2/25/16; 3:59 PM EST = +35; signal line is +11

2/25/16; 1:27 PM EST = +21; signal line is +9

2/25/16; 11:21 AM EST = +5; signal line is +8 but algorithm remains long

2/25/16; 10:23 AM EST = +21; signal line is +7

2/25/16; 10:12 AM EST = +5; signal line is +5 but algorithm remains long

2/25/16; 9:34 AM EST = +21; signal line is +4; go long 1938; (Benchmark SPX for 2016  = -5.2%)(Keybot algo this trade = -0.4%; Keybot algo for 2016 = +8.1%)(Actual results this trade = -0.8%; Actual results for 2016 = +13.7%)