Keybot the Quant remains short as the Thursday session starts out with bullish euphoria and a new all-time record high at 6427.02, followed by stocks falling on their sword reversing one hundo points intraday and then ending at 6339.
Today is end of month and August trading begins tomorrow. The US Monthly Jobs Report is released tomorrow morning and may send stocks into a tizzy.
Dr Copper is puking all over the hospital hallway and is placed on a gurney and wheeled into the emergency room. Medic! Stat! The quant is tracking retail stocks and banks as the two most important parameters impacting stock market direction and both retreated today coming closer to their bull/bear lines in the sand.
If XRT loses 78.03 (give or take a few pennies because the quant is constantly recalculating), it is lights-out for stocks (a drop of -0.6%). If XLF loses 51.72, it is lights-out for stocks (a drop of -1.2%). Banks would likely be more impacted by jobs data than retail stocks. If both fail into the bear camp, stocks will be falling like rocks. If both remain in the bull camp, equities will stagger sideways like the drunks in Times Square on Saturday night. Outside its another yellow moon, the trains are full of all those Brooklyn girls, all of my dreams fall like rain, always on a downtown train. Tom Waits masterpiece Downtown Train sung by Patty.
So the stage is set. The retail stocks and banks will tell you if the downside has legs or if it is a pig in a poke.
8/3/25;
7:00 PM EST =
8/1/25;
9:00 AM EST =
7/31/25;
7:00 PM EST EOM = +44; signal line is +56
7/30/25; 3:00 PM EST = +44; signal line is +56; go short 6348
(Benchmark SPX for 2025 = +7.9%)(Keybot algo this trade = +7.1%; Keybot algo
for 2025 = +22.7%)(Actual results this trade = +7.0%; Actual results for 2025 =
+25.8%)