Keybot the Quant remains long after an odd session. The Santa Claus rally is a bust with the period from Christmas Eve to today down marginally. The algorithm wanted to flip short for most of the day but that was difficult to do with stocks rallying to beat the band.
Utilities failed at UTIL 1063.20 but then before the closing bell, the bulls goosed the utes back above to end at 1064. Stocks retreated 20 points from the top but this is not the day that would be expected with the utility trap-door opening, but it did close again. As utilities go, so goes the stock market. Watch UTIL 1063.20 closely to see if it fails again, if so, stocks will likely take the pipe.
If UTIL loses a point and drops below 1063.20, consider the imminent turn to be in play, and then if the SPX drops below 6892, Keybot the Quant will likely flip short. Bulls must pump utes higher with all their might to save the day, or, they will go down with a sinking ship.
The XRT 85.20 remains in play where stocks will become very sick if it fails. With the up day today, the VIX was also up; that occurs less than 10% of the time so chalk it up to more oddities.
The first full week of trading is off and stumbling. Watch the utilities. We need the Ice Queen, Sue Foley, to start the year off with some blues. Queen Bee. She can tickle those strings.
1/11/26;
7:00 PM EST =
1/9/26;
9:00 AM EST =
1/5/26;
3:56 PM EST = +40; signal line is +25
1/5/26;
10:02 AM EST = +24; signal line is +25 but algorithm remains long
1/4/26;
7:00 PM EST = +40; signal line is +25
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