Tuesday, March 8, 2016


Keybot the Quant remains long and the algorithm prints two numbers to begin the week. The bulls are driving the bus without a worry. Commodities ran higher keeping the stock market buoyant. GTX 2149.52 is the key bull-bear line in the sand. Price is at 2146 a few points under in the bear camp. If the stock market rallies higher, it will only have legs if GTX moves above 2150.

If GTX stays below 2150, the bears can maintain a lid on the stock market rally and if either XLF drops under 21.83 and/or VIX moves above 19.73, down will be the direction for stocks. If GTX stays below 2150, and XLF above 21.83, and VIX under 19.73, stocks will stagger along sideways. Watch to see which one of these three flinch which will likely tell you market direction.

For the SPX starting at 2002 on Tuesday, the bulls need to push above 2006 and bingo, the upside will immediately accelerate to 2011. The bears need to push under 1990 to accelerate the downside. A move through 1991-2001 is sideways action for Tuesday.

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

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