Tuesday, March 29, 2016

STOCK MARKET BULLISH -- LONG -- CAUTION

Keybot the Quant flips to the long side at SPX 2050 this afternoon. The NYA runs above 10156 creating upside bullish joy in markets. The choppy behavior will likely continue and do not be surprised with a reversal back to the downside. The bears need to push NYA under 10156 to stop the upside stock market rally and roll equities over to the downside. The bulls need to push GTX above 2155 to prove they have the beans to take stocks higher. If NYA remains above 10156 and GTX under 2155, stocks will drift along sideways with a slight upward bias.

The algo number is only 3 points above the signal line so a cautious stance has to be maintained. If NYA turns bearish as described above, consider the imminent turn notation to be in play and a potential whipsaw to the downside.

For the SPX on Wednesday starting at 2055, the bulls need only one point of upside, to touch the 2056 handle, and the upside will accelerate above 2060 in a flash. The bears need to push under 2028 to get their mojo back. A move through 2029-2054 is sideways action for hump day. The bulls have the ball.

The benchmark SPX index turns positive on the year by a few points (the year began at 2044), up +0.3%. The Keybot algorithm program lost -1.2% on the last trade and the actual trading lost -1.4%. Keybot remains in single ETF's and exits SH with the loss and enters SPY. The actual trading generated by Keybot remains up +13% on the year while the benchmark SPX is flat.

4/3/16; 7:00 PM EST =
4/1/16; 10:00 AM EST =
4/1/16; 9:00 AM EST =
3/31/16; 7:00 PM EST EOM =
3/29/16; 2:15 PM EST = +80; signal line is +77; go long 2050; (Benchmark SPX for 2016 = +0.3%)(Keybot algo this trade = -1.2%; Keybot algo for 2016 = +7.8%)(Actual results this trade = -1.4%; Actual results for 2016 = +13.0%)
3/29/16; 10:00 AM EST = +66; signal line is +77
3/27/16; 7:00 PM EST = +64; signal line is +77
3/24/16; 2:44 PM EST = +64; signal line is +76
3/24/16; 9:31 AM EST = +50; signal line is +76; go short 2026; (Benchmark SPX for 2016 = -0.9%)(Keybot algo this trade = +0.9%; Keybot algo for 2016 = +9.0%)(Actual results this trade = +0.3%; Actual results for 2016 = +14.4%)

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