STOCK MARKET BULLISH -- LONG -- CAUTION -- TURN MAY BE IMMINENT

Keybot the Quant flips to the long side today as the algorithm tags +100 the highest number possible for the oscillator. It completely pegged to the maximum possible number and that triggers Keybot to finally flip long at SPX 2907. The stock market is a coin-flip right now, perhaps traders are biding their time ahead of the big Wednesday, 9/26/18, Fed rate hike next week that is a done deal? Watch out for a potential whipsaw.

The bulls pulled copper into their camp to print the +100 algo number but that only lasted for an hour and the bears pull copper back into their camp. The chips are in the bull camp.

The Thursday battle is copper versus semiconductors. The bulls need JJCTF above 30.06 and stocks will experience an orgy of upside joy with new record highs on tap. Bears need to push SOX below 1367.44, and the stock market will become ill and deteriorate lower. If the VIX then moves above 13.00, the stock market will fall apart.

Generally, if SOX turns bearish and the SPX drops below 2904, Keybot may be getting ready to whipsaw back to the short side.

On the last trade, Keybot exits TWM and enters SSO. The algo program loses -0.7% since the direction was short but the stock market generally headed higher. However, the small caps did drift lower so TWM (2x invert ETF) was a +1.8% winner nonetheless. Sometimes the ETF selection helps and sometimes it can hurt. Keybot strives to typically play the SSO (2x), SDS (-2x), SPY (1x) and SH (-1x) derivatives of the S&P 500. The actual trading is up almost +15% this year thus far. 

JJCTF 30.06 and SOX 1367.44 tell the market direction story. They will join together on one side or the other and dictate the direction of the stock market ahead. Copper and chips. You can check copper futures overnight to see how they are trading.

9/23/18; 7:00 PM EST =

9/19/18; 1:45 PM EST = +84; signal line is +73

9/19/18; 1:27 PM EST = +68; signal line is +73 but algorithm remains long

9/19/18; 12:54 PM EST = +84; signal line is +72

9/19/18; 12:43 PM EST = +68; signal line is +72 but algorithm remains long

9/19/18; 11:42 AM EST = +84; signal line is +71

9/19/18; 10:42 AM EST = +100; signal line is +71; go long 2907; (Benchmark SPX for 2018 = +8.7%)(Keybot algorithm program this trade = -0.7%; Keybot algo for 2018 = +4.7%)(Actual results this trade = +1.8%; Actual trading results for 2018 = +14.7%)
9/19/18; 9:00 AM EST = +84; signal line is +69 but algorithm remains short

9/18/18; 10:28 AM EST = +84; signal line is +69 but algorithm remains short

9/18/18; 10:16 AM EST = +70; signal line is +67 but algorithm remains short

9/18/18; 10:07 AM EST = +54; signal line is +67

9/18/18; 9:07 AM EST = +68; signal line is +67 but algorithm remains short

9/17/18; 3:12 PM EST = +54; signal line is +68

9/17/18; 3:03 PM EST = +70; signal line is +68 but algorithm remains short

9/17/18; 2:00 PM EST = +84; signal line is +66 but algorithm remains short

9/17/18; 1:20 PM EST = +70; signal line is +65 but algorithm remains short

9/16/18; 7:00 PM EST = +84; signal line is +64 but algorithm remains short

9/14/18; 10:00 AM EST = +84; signal line is +63 but algorithm remains short

9/14/18; 9:36 AM EST = +84; signal line is +62 but algorithm remains short

9/13/18; 3:11 PM EST = +68; signal line is +61 but algorithm remains short

9/13/18; 11:17 AM EST = +84; signal line is +61 but algorithm remains short

9/13/18; 10:30 AM EST = +68; signal line is +61 but algorithm remains short

9/13/18; 9:36 AM EST = +84; signal line is +61 but algorithm remains short
9/12/18; 3:06 PM EST = +68; signal line is +60 but algorithm remains short

9/12/18; 11:44 AM EST = +54; signal line is +61

9/12/18; 11:36 AM EST = +68; signal line is +62 but algorithm remains short

9/12/18; 10:13 AM EST = +54; signal line is +62

9/12/18; 10:06 AM EST = +68; signal line is +63 but algorithm remains short

9/12/18; 6:20 AM EST = +54; signal line is +63

9/12/18; 3:45 AM EST = +68; signal line is +64 but algorithm remains short

9/11/18; 11:29 AM EST = +54; signal line is +64

9/11/18; 10:55 AM EST = +70; signal line is +66 but algorithm remains short

9/11/18; 10:19 AM EST = +54; signal line is +66

9/11/18; 10:08 AM EST = +70; signal line is +67 but algorithm remains short

9/11/18; 9:53 AM EST = +56; signal line is +67

9/11/18; 9:47 AM EST = +70; signal line is +68 but algorithm remains short

9/11/18; 9:37 AM EST = +54; signal line is +68
9/10/18; 10:38 AM EST = +70; signal line is +69 but algorithm remains short

9/10/18; 10:09 AM EST = +54; signal line is +69

9/10/18; 9:40 AM EST = +70; signal line is +70 but algorithm remains short

9/10/18; 9:36 AM EST = +54; signal line is +71

9/9/18; 7:00 PM EST = +40; signal line is +71

9/7/18; 1:10 PM EST = +40; signal line is +72

9/7/18; 1:01 PM EST = +56; signal line is +73

9/7/18; 12:30 PM EST = +40; signal line is +73

9/7/18; 9:00 AM EST = +56; signal line is +74
9/6/18; 11:16 AM EST = +56; signal line is +74

9/5/18; 3:06 AM EST = +70; signal line is +75

9/4/18; 3:59 PM EST = +84; signal line is +75 but algorithm remains short

9/4/18; 9:44 AM EST = +70; signal line is +74; go short 2888; (Benchmark SPX for 2018 = +8.0%)(Keybot algorithm program this trade = +0.7%; Keybot algo for 2018 = +5.4%)(Actual results this trade = +1.4%; Actual trading results for 2018 = +12.9%)