Keybot the Quant remains short but the robot wants to go long with the algo number 7 points above the signal line. The internal parameters will not yet latch to permit the move. If the SPX moves above 6882, Keybot the Quant will likely flip long. That represents a +46 gain so the bulls have some work to do.
US markets are closed tomorrow for the Presidents Day holiday and trading resumes on Tuesday so the bulls need to show up with S&P futures at +46 and higher.
The battle for market direction is controlled by retail stocks and copper creating bullishness versus banks and volatility creating bearishness. Whichever team gains the third member, that is the direction of stocks.
The bears need XRT below 87.53 and/or CPER below 35.18. Bears need weaker retail stocks and WMT will be a focus in the week ahead. Copper futures need to drop about -1.1% to help the bears so keep an eye on the red metal. The copper orgy may have ran its course.
The bulls need XLF above 54 but now has a 51 handle and sinking faster than the middle class. Bulls need VIX below 17.35 to get back in the game. Volatility is key. Plain and simple. If VIX remains above 17.35, the bears will win going forward. If VIX drops below 17.35, the bulls are back in biz and stocks will begin moving higher again.
Thus, watch XRT 87.53, CPER 35.18 and VIX 17.35 to forecast the stock market direction over the coming days. The banksters will probably languish.
Keybot the Quant prints two prescheduled numbers during the holiday-shortened week one on Wednesday morning and the other on Friday morning. Bulls will root for lower vol while bears will cheer for weaker retail stocks and copper. We may be heading down Copperhead Road again, so be careful down that way.
2/22/26;
7:00 PM EST =
2/20/26;
10:00 AM EST =
2/18/26;
9:00 AM EST =
2/15/26;
7:00 PM EST = +24; signal line is +17 but algorithm remains short
2/13/26;
11:54 AM EST = +24; signal line is +17 but algorithm remains short
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