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

Keybot the Quant is long and prints the first two numbers of the new year. The Friday session is well underway; the second day of trading in 2020. The big rally yesterday gives way to a big selloff today. The bulls remain in control with the algo number 13 points above the signal line. Note that the algo number was only one point above the signal line early this morning. Markets are erratic and unstable.

The algo may be jogging its way towards a potential move to the bear side. If the VIX moves above 14.32, and the SPX below 3222, Keybot will likely flip short, hence the imminent turn notation is in the title line. The VIX is at 13.73 and the SPX is at 3232 so the bulls do not appear to be too concerned about the selling today, at least not yet, as munch time approaches.

Remember, utilities are key. See if UTIL finishes below 876.46 today and if so, stocks are in trouble next week. UTIL is at 870 right now so the bulls have lots of work to do over the next 5 hours. If the VIX pops above 14.32 and UTIL finishes today below 876.46, the stock market may have a very ugly week next week, and Keybot will likely be on the short side.

If VIX remains below 14.32 and UTIL pops above 876.46, the bears got nothing and the bulls will be celebrating all weekend long drinking Fed booze while dancing and singing. Watch volatility and the utilities. Perhaps there is drama ahead today.

1/5/20; 7:00 PM EST =

1/3/20; 9:41 AM EST = +88; signal line is +75

1/3/20; 3:06 AM EST = +74; signal line is +73

1/1/20; Begin 2020 Data Set = +88; signal line is +71; go long 3231; (Benchmark SPX for 2020 = 0%)(Keybot algo this trade = 0%; Keybot algo for 2020 = 0%)(Actual results this trade = 0%; Actual results for 2020 = 0%)