Friday, May 29, 2026

STOCK MARKET BULLISH -- LONG -- CAUTION -- TURN MAY BE IMMINENT

Keybot the Quant remains long with the algo number 13 points above the signal line. However, the stock market is at a bounce or die position right now. Retail stocks were in the bag creating sogginess in the stock market but that changed this week with earnings that rally the retail sector bigtime helping create more record highs. The SPX prints a new all-time high at 7568.72 and new all-time closing high at 7563.63 yesterday, 5/28/26.

At the same time, banks are stumbling lower. XRT drops to ...... wait for it ...... wait a bit longer for it ....... you really should have to wait longer for it....... 51.27 the robot called out ahead of time. If you are not impressed, you should be. Banks and utilities are controlling the stock market direction today. If XLF loses 51.27, stocks will be negative, and if the SPX drops below 7508, Keybot the Quant will likely flip short.

Utilities keep slipping away and must now bounce or die and take the market in that direction. If UTIL, or DJU, loses 1112, it is only 4 bucks away, there will be Hell to pay. A trap-door should open if this occurs and stocks should flush strongly lower. If UTIL loses 1112 and the SPX drops below 7508, Keybot the Quant will likely flip short.

If both banks and utes fail today, stocks will likely fall down the rabbit hole and the quant may flip short right away. If banks and utes remain buoyant heading higher, the month of May ends on a happy note.

5/31/26; 7:00 PM EST EOM =
5/28/26; 3:36 PM EST = +53; signal line is +40
5/28/26; 11:24 AM EST = +37; signal line is +39 but algorithm remains long
5/28/26; 11:06 AM EST = +53; signal line is +40
5/28/26; 10:37 AM EST = +37; signal line is +39 but algorithm remains long
5/27/26; 9:36 AM EST = +53; signal line is +39
5/26/26; 11:05 AM EST = +37; signal line is +38 but algorithm remains long

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