Sunday, July 9, 2017


Keybot the Quant remains bearish moving into the new week of trading but the algo number is 6 points above the signal line and Keybot is champing at the bit to go long. The market bulls have it on a silver platter if they want it especially with UTIL printing at 702 above the critical 697.28 bull-bear line in the sand. The only thing that bulls do not want is a gap-up open. It is far better for bulls if price simply moves higher at a steady pace and Keybot will likely flip long if the SPX prints above 2427.

The market bears have their work cut out for them if they want to continue pressing the stock market lower. Bears need UTIL under 697.28, SOX under 1054.14, JJC under 29.71 and/or VIX above 11.58. Thus, bears need lower utilities, chips and copper and higher volatility. If any 1 of the 4 parameters turns bearish this will stall the upside rally in stocks. If two turn bearish, the bears will begin growling strongly again. if 3 or all 4 of the parameters turn bearish, stocks will be dropping like a stone.

The big initial fight at the opening bell will likely involve semiconductors since the SOX  price is at 1054.90 only 76 cents from the 1054.14 bull-bear line in the sand (currently creating stock market bullishness). Thus, as chips go, so goes the market. Keybot prints one pre-scheduled number this week on Friday morning one-half hour after the opening bell.

7/16/17; 7:00 PM EST =
7/14/17; 10:00 AM EST =
7/9/17; 7:00 PM EST = +54; signal line is +48 but algorithm remains short
7/7/17; 3:51 PM EST = +54; signal line is +48 but algorithm remains short

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