STOCK MARKET BULLISH -- LONG

Keybot the Quant remains long as the bulls come out to play to begin the week. Traders are bulled-up on central banker money-printing infinity and news hits that a virus vaccine appears promising. The bulls bounce copper to create the big rally. The banks also contribute but fell short of what they need to provide more upside juice for stocks.

The bulls will keep the upside party going in equities if they push XLF above 22.56 (now at 22.13) so watch the pre-market to see if a +1.9% gain is showing for XLF, or not. Bulls will also ride the victory train if the SPX prints above 2990 (now at 2954). The degree of stock market rally is dictated by the banks and S&P 500 index. If one of the parameters flip bullish, another big leg up will occur for stocks. If both parameters turn bullish, there will be no stopping the bulls; equities will begin running towards all-time highs. If XLF or SPX is unable to attain these bull-bear line in the sand targets, stocks will flatten, deflate and move sideways to sideways lower.

Bears need higher volatility and weaker copper and chips. You can watch these sectors and factor their behavior into the overall stock market direction.

The bulls are puffing their chests out extremely confident that the sky is the limit for stocks. Rich Uncle Fed is always there to provide bail money, er bailout money, so the bulls figure there is no need to worry about stocks ever going down. The bulls are in charge with the algo number 22 points above the signal line.

Keybot prints a pre-scheduled number tomorrow. Pay attention to Housing Starts since it is one of the top economic numbers each month on par with the Monthly Jobs Report.

5/24/20; 7:00 PM EST =

5/19/20; 9:00 AM EST =

5/18/20; 9:36 AM EST = -23; signal line is -45
5/17/20; 7:00 PM EST = -39; signal line is -46