Keybot the Quant is on the short side today and does not print any additional numbers after the 10 AM number. Semi's remain bullish and volatility and banks remain bearish. One of these three will flinch and dictate the direction ahead.
Bears need SOX under 1075.07 (now at 1084.86) to guarantee downside in the stock market. Bulls need either VIX under 11.15 (now at 11.70) and/or XLF above 24.67 (now at 24.57) to guarantee a stock market rally. XLF is only 10 cents from the bull-bear line so any news about the banks overnight will be important.
If XLF moves above 24.67 and the the SPX above 2449, Keybot will likely flip long, hence the imminent turn notation in the title line. But interestingly, if VIX moves under 11.15, that will send stocks higher but will likely not be enough to flip the algorithm long. Thus, if you are bullish the stock market, you had better be praying for the banks.
So hump day will be a battle between chips and banks; bears need lower semi's while bulls need higher financials. Markets are very erratic and unstable. The sideways sawtooth choppy slop continues. The bears are in control with the algo number 15 ponts below the signal line.
8/31/17;
7:00 PM EST EOM =
8/29/17; 10:00 AM EST
= +40; signal line is +55
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