Wednesday, August 5, 2020


Keybot the Quant remains short through the wacko price action. The quant has not printed any numbers this week thus far. The stock market price behavior is extremely erratic at the opening and closing bells for the last three days. Keybot continues champing at the bit to go long since Friday but the internal parameters will not fully latch to permit the move. It is wild stuff.

If the SPX moves above 3317, call it the 3307-3317 range moving higher, Keybot will likely flip long. The SPX begins at 3307. S&P futures are up +8 about 7 hours before the opening bell on Wall Street for the hump day session so it is looking good for the bulls.

UTIL rallies yesterday popping up to 835.59. The quant told you ahead of time that this level is key. Isn't it amazing that the algorithm can identify not only the key sectors and parameters most greatly impacting stock market direction at any point in time, but also that it pinpoints the prices that the market seeks before they occur? If you are not impressed, you should be. Enjoy and support the information while it is made available.

UTIL price is spanked lower from the key bull-bear line in the sand at 835.50 so the bulls and bears keep slapping each other around as the stock market maintains an upward bias. If UTIL moves above 835.50 heading higher, stocks are going to take off wildly higher in a buying orgy so obscene that it would make Caligula blush.

Bears need to push utilities lower pronto. Bears need either GTX below 1697, NYA below 12433 or XLF below 23.65. If any one of the three turn bearish, the stock market will be rolling over to the downside. If these three parameters remain bullish, and UTIL cannot move above 835, status quo, stocks will chop sideways with a slight upward bias.

The US Monthly Jobs Report is Friday morning so traders are becoming more fixated on that release with each passing hour. So bulls need stronger utilities which will verify the upside party in the stock market and lead to more gains ahead. Bears need weaker utes, commodities, banks and NYA index if they want to growl.

8/7/20; 9:00 AM EST =
8/2/20; 7:00 PM EST EOM = +53; signal line is +39 but algorithm remains short

No comments:

Post a Comment

Note: Only a member of this blog may post a comment.