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

Keybot the Quant flips to the bull side at SPX 2555 the first turn for the year. Utilities drop like a rock but out of the blue retail stocks are goosed higher. The bulls must keep RTH above 97.50 (now at 97.89). Bears must crush retail stocks tomorrow and potentially, if RTH slips below 97.50 and if SPX drops under 2525, Keybot may whipsaw back to the short side.

Bulls need UTIL above 709.50, CPER above 16.97 and VIX below 19.20. Any of these parameters turning bullish will create upside fuel for the stock market.

On the first trade of the year, the S&P 500 benchmark index is up nearly +2% on the year after only four days of trading in 2019. The Keybot model loses the same amount and the actual trading loses -4.1%. The results are deceiving since the short trade actually started way above SPX 2700 in December. The re-zeroeing of the algo for 2019 creates the loss. No worries. Keybot has the whole year to make it up. In past years, Keybot has been down as much as -7% and -10% before recovering on the year. Keybot exits SDS and enters SSO.

RTH 97.50 and UTIL 709.50 will dictate stock market direction on Tuesday. Markets are erratic and unstable to begin 2019.

1/13/19; 7:00 PM EST =

1/7/19; 11:45 AM EST = -36; signal line is -38; go long 2555; (Benchmark SPX for 2019 = +1.9%)(Keybot algorithm program this trade = -1.9%; Keybot algo for 2019 = -1.9%)(Actual results this trade = -4.1%; Actual trading results for 2019 = -4.1%)

1/7/19; 10:50 AM EST = -36; signal line is -38 but algorithm remains short

1/7/19; 9:36 AM EST = -52; signal line is -37

1/6/19; 7:00 PM EST = -36; signal line is -37 but algorithm remains short

1/4/19; 3:38 PM EST = -36; signal line is -37 but algorithm remains short

1/4/19; 1:25 PM EST = -52; signal line is -36

1/4/19; 12:46 PM EST = -36; signal line is -35

1/4/19; 9:00 AM EST = -52; signal line is -34

1/2/19; 9:37 AM EST = -52; signal line is -33

1/1/19; Begin 2019 Data Set = -36; signal line is -32; go short 2507; (Benchmark SPX for 2019 = 0%)(Keybot algo this trade = 0%; Keybot algo for 2019 = 0%)(Actual results this trade = 0%; Actual results for 2019 = 0%)