Sunday, May 8, 2016

STOCK MARKET BEARISH -- SHORT -- CAUTION

Keybot the Quant is on the short side flipping back on Wednesday at SPX 2053 with the copper failure. Over the last few days, copper and semiconductors have created the majority of the broad stock market weakness. Watch JJC 25.27 and SOX 656. The algorithm indicates that copper and retail stocks are the two parameters affecting market direction currently and this is the battle to begin the new week of trading. Watch RTH 75.94.

If JJC moves above 25.27, and semi's are floating higher, the fix is in for the bulls and markets will rally higher. If RTH drops under 75.94, stocks will take a sharp drop lower. If copper remains bearish, and retail stocks remain bullish, the broad stock market will continue chopping sideways. If JJC moves above 25.27, and SPX above 2058, Keybot will likely flip back to the long side.

The stock market is moving in a sloppy and choppy sideways direction. The S&P 500 moves sideways through 2040-2100 for the last two months. As of the last trade, the Benchmark SPX is up a touch on the year. The Keybot algorithm program drops -0.2% on the last trade but the actual trading gains +0.4%. Keybot was in IWM, the small caps, which outperformed the broad stock market during the last trade. Keybot exits IWM and enters SDS. A 35-day timer has expired (triggered by whipsaw action) so the robot is using 2x ETF's again.

Keybot prints a prescheduled number this week on Friday the 13th. The bears are in charge with the algo number 14 points under the signal line. The S&P 500 will begin the new week at 2056. Watch copper trading overnight and listen for any news on retail stocks. JJC 25.27 or RTH 75.94 will determine the direction ahead for stocks.

5/15/16; 7:00 PM EST =
5/13/16; 10:00 AM EST =
5/8/16; 7:00 PM EST = +60; signal line is +74
5/6/16; 2:04 PM EST = +60; signal line is +74
5/6/16; 9:36 AM EST = +44; signal line is +73
5/6/16; 9:00 AM EST = +60; signal line is +73
5/4/16; 9:36 AM EST = +60; signal line is +72; go short 2053; (Benchmark SPX for 2016 = +0.4%)(Keybot algo this trade = -0.2%; Keybot algo for 2016 = +6.9%)(Actual results this trade = +0.4%; Actual results for 2016 = +13.2%)
5/1/16; 7:00 PM EST EOM = +76; signal line is +71
4/29/16; 3:21 PM EST = +76; signal line is +70
4/29/16; 1:45 PM EST = +60; signal line is +70 but algorithm remains long
4/29/16; 12:53 PM EST = +76; signal line is +69
4/29/16; 11:41 AM EST = +60; signal line is +68 but algorithm remains long
4/29/16; 10:00 AM EST = +76; signal line is +68
4/29/16; 9:37 AM EST = +77; signal line is +67
4/29/16; 9:36 AM EST = +93; signal line is +66
4/28/16; 3:29 PM EST = +77; signal line is +65
4/26/16; 10:00 AM EST = +93; signal line is +64
4/24/16; 7:00 PM EST = +94; signal line is +63
4/19/16; 9:00 AM EST = +94; signal line is +62
4/18/16; 9:54 AM EST = +94; signal line is +60
4/18/16; 9:46 AM EST = +80; signal line is +60
4/18/16; 9:36 AM EST = +64; signal line is +60
4/17/16; 7:00 PM EST = +78; signal line is +60
4/15/16; 10:00 AM EST = +78; signal line is +61
4/15/16; 9:36 AM EST = +78; signal line is +61
4/13/16; 9:36 AM EST = +94; signal line is +61
4/12/16; 9:36 AM EST = +78; signal line is +59
4/11/16; 3:57 PM EST = +64; signal line is +59
4/11/16; 9:42 AM EST = +78; signal line is +58; go long 2056; (Benchmark SPX for 2016 = +0.6%)(Keybot algo this trade = -0.5%; Keybot algo for 2016 = +7.1%)(Actual results this trade = -0.0%; Actual results for 2016 = +12.8%)

No comments:

Post a Comment

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