STOCK MARKET BEARISH -- SHORT -- CAUTION -- TURN MAY BE IMMINENT

Keybot the Quant flips to the bear side at SPX 7451 yesterday. It is a wild and crazy ride and the quant wants to already flip back to the bull side with the algo number 10 points above the signal line.

The chips failed after the long never-ending rally but recovered at lunch time. Utilities, chips, retail stocks, commodities and copper are running the show.

UTIL is at 1151.82 threatening the breakdown at the 1151.70 line in the sand. The quant told you a week ago that the 1151.70 would be important for this week. No one else told you that. Isn't it impressive?

Other lines in the sand are SOX 12310, XRT 85.60, GTX 5133 and CPER 37.73. The drama yesterday was centered around UTIL 1151.70, SOX 12310 and XRT 85.60 so watch those metrics closely.

Utilities, chips and retail stocks are creating bullishness in the stock market while commodities and copper create negativity. The bears need utes, chips or retail stocks to turn bearish to maintain negativity. If 2 of the 3 or all 3 turn negative, stocks will fall apart.

On the bull side, with the algo champing at the bit to whipsaw long again, the bulls only need to see the SPX above 7489 and moving higher to flip the model long, hence the imminent turn is in the title line. This is only +6 points that are needed and the S&P futures are up +23 points. This poses a different problem, however, because a gap-up open is not good for the bulls because it may trigger the gap-up timer and cause the quant to hold off for about 1-1/2 hours before committing to the long side. However, in the craziness that exists, who knows what will happen next?

On the last trade, that ran for a week, the quant program lost a smidge and the actual trading loses about a percent. For the year, already half gone, the benchmark S&P 500 is up +9%. The quant program is up +4% and the actual trading generated by the quant is up a percent so far this year. Keybot the Quant exited SSO and entered SDS remaining in the 2x leveraged ETF's. Crazy by Patsy Cline. What a voice.

7/12/26; 7:00 PM EST =
7/8/26; 12:55 PM EST = +50; signal line is +40 but algorithm remains short
7/8/26; 12:15 PM EST = +34; signal line is +39
7/8/26; 11:20 AM EST = +18; signal line is +39
7/8/26; 10:39 AM EST = +34; signal line is +40; go short 7451 (Benchmark SPX for 2026 = +8.8%)(Keybot algo this trade = -0.2%; Keybot algo for 2026 = +4.3%)(Actual results this trade = -0.6%; Actual results for 2026 = +0.8%)
7/7/26; 3:59 PM EST = +50; signal line is +39
7/7/26; 2:47 PM EST = +34; signal line is +39 but algorithm remains long
7/7/26; 12:26 PM EST = +50; signal line is +39
7/7/26; 10:00 AM EST = +34; signal line is +38 but algorithm remains long
7/7/26; 9:54 AM EST = +50; signal line is +38
7/7/26; 9:47 AM EST = +66; signal line is +37
7/7/26; 9:36 AM EST = +50; signal line is +36
7/6/26; 2:15 PM EST = +50; signal line is +36
7/6/26; 10:21 AM EST = +34; signal line is +36 but algorithm remains long
7/5/26; 7:00 PM EST = +50; signal line is +36
7/2/26; 9:00 AM EST = +50; signal line is +35
6/30/26; 7:00 PM EST EOM EOQ2 EOH1 = +38; signal line is +35
6/30/26; 10:44 AM EST = +38; signal line is +34
6/30/26; 10:27 AM EST = +54; signal line is +34
6/30/26; 10:04 AM EST = +38; signal line is +33; go long 7470 (Benchmark SPX for 2026 = +9.1%)(Keybot algo this trade = +1.2%; Keybot algo for 2026 = +4.5%)(Actual results this trade = -0.2%; Actual results for 2026 = +1.4%)

STOCK MARKET BULLISH -- LONG -- CAUTION

Keybot the Quant remains long although the bears tried to flip stocks to their side today. Utilities and copper were/are key. To start the day, utes were in the bull camp creating positivity in stocks but copper was in the bear camp creating negativity. Today, it was the ole switcheroo. Utes failed so stocks started to run out of gas, stumble sideways, and then roll over after lunch time. The bulls then shot morphine into Doctor Copper's dupa and he recovered running higher taking stocks higher.

The same drama is in store for tomorrow. The bull/bear lines in the sand are UTIL 1151.70, UTIL 1120, and CPER 37.77.

Copper is bullish but only by a few pennies with price sitting at 37.84. If the red metal falls back below 37.77, stocks will sell off. UTIL price is at 1148 so the bears are happy below 1152. Bears must send UTIL below 1120 that will begin big trouble with stocks.

Bulls need to keep copper bullish and win back utilities. Bulls need UTIL back above 1152 and it will be smooth sailing ahead for more upside.

If CPER loses 37.77, and the SPX drops below 75 hundo, Keybot the Quant will likely flip short so pay attention. Copper and utilities are running the show. The slaves work in the mines to pull out the copper and minerals to build technology for the privileged class. Blue Sky Mine. Hey, hey, hey, hey, if I work all day on the Blue Sky Mine, there'll be food on the table tonight, nothing's as precious as a hole in the ground.

7/12/26; 7:00 PM EST =
7/6/26; 2:15 PM EST = +50; signal line is +36
7/6/26; 10:21 AM EST = +34; signal line is +36 but algorithm remains long
7/5/26; 7:00 PM EST = +50; signal line is +36

STOCK MARKET BULLISH -- LONG -- CAUTION

Keybot the Quant remains long as the stock market circus rolls along. The bulls are in charge with the algo number 14 points above the signal line.

Utilities and copper are key. On Thursday, stocks soured and were putting in lows through munch time that is when the utes were goosed. Utilities were pumped and when UTIL went up through 1152 (the bull/bear line in the sand for this week), stocks shot off the bottom and both ran higher into the 3-day holiday weekend.

UTIL is at 1162 ten points above the 1152 line in the sand for this week. The bulls maintaining price above 1152 does not give them extra strength it only maintains the status quo. Obviously, bears need weaker utilities and UTIL dropping below 1152 would be a signal that there is trouble ahead for the stock market. If 1152 would fail, the quant would be in position to go short but likely needs about a -55 point retreat by the SPX. If UTIL is dropping and takes out 1120, it is lights out for stocks that will take a substantive nosedive in price in quick order. Bulls simply need to keep their head above water at 1152.

Bulls need CPER above 37.83 and a rise in copper will create more upside joy for US stocks. This equates to about a +1.4% rise in copper futures so watch that closely overnight.

If the status quo remains with UTIL above 1152 and CPER below 37.83, stocks will chop along sideways with a slight upward bias.

If UTIL remains above 1152, and CPER pops above 37.83, it is off to the races for the bulls with higher prices for stocks on the come.

If UTIL loses 1152 heading lower, and copper remains negative, the quant will likely be in position to go short. If the SPX then falls below 7428, Keybot the Quant will likely flip short, however, you have to wait and see what the 1's and 0's decide.

If UTIL loses 1120, stocks are already falling and the situation will go from bad to far worse. Keybot the Quant does not print any prescheduled numbers this week so the price action solely dictates the model behavior. Bulls need to root for stronger copper while bears are cheering for lower utilities.

As a side note, chips and retail stocks are standing in the wings as potential thorns in the bull's dupa. Stocks will be in serious trouble if either SOX or XRT lose -3% so pay attention to their behavior. Donnie Trumpski cancelled the bands and entertainment a couple weeks ago and instead gave a campaign speech into midnight last night in Washington, DC, for the July 4th holiday. The fireworks followed on July 5th, today. Weather and poor planning plagued the lame 250 events. People want to hear live music, jackasses. An Independence Day without Martina is not the same. That is how you put on a show, folks.

7/12/26; 7:00 PM EST =
7/5/26; 7:00 PM EST = +50; signal line is +36
7/2/26; 9:00 AM EST = +50; signal line is +35

STOCK MARKET BULLISH -- LONG -- CAUTION

Keybot the Quant remains long with the algo number 15 points above the signal line. The bulls run higher into the 3-day holiday weekend, so far.  Utes, vol and copper are all that matter to stock market direction currently.

Copper is firmly in the bear camp creating a pall on stocks with CPER below 37.87.

Volatility is firmly in the bull camp creating positivity in stocks with VIX below 20.46.

Utilities is the one to watch. UTIL 1122 and 1118 are the two key lines in the sand this week replaced with 1152 and 1118 for next week. Price is at 1146 above the 1122 creating bullishness for stocks now. However, if price finishes here, below 1152 the key number for next week, that will create negativity out of the gate Monday morning and Keybot the Quant will be champing at the bit to go short.

You will know the answer going into today's closing bell. If UTIL finishes where it is at now, below 1152, the bears plan on coming to play next week and the quant may flip short Monday morning.

If UTIL rallies today and ends the week above 1152, the bulls are on easy street and buoyancy in stocks would be expected to continue next week. Choose your poison. Bret Michaels of Poison bowed out of King Donnie Chumpski's 250 state fair fiasco like the other artists. Comically, Donnie is going to provide a campaign speech instead in the scorching heat. What a failure. People want to hear music, jackass. Every Rose Has Its Thorn. Sometimes it is an orange thorn.

7/5/26; 7:00 PM EST =
7/2/26; 9:00 AM EST = +50; signal line is +35
6/30/26; 7:00 PM EST EOM EOQ2 EOH1 = +38; signal line is +35

STOCK MARKET BULLISH -- LONG -- CAUTION

Keybot the Quant remains long with utilities, copper and volatility in charge. July trading begins today the start of Q3 and H2. 

Bulls need stronger copper and CPER above 37.88 to print more upside gains in equities. Copper came out of the gate yesterday filled with p*ss and vinegar running higher like a banshee but then stumbling, tripping, and falling on its sword. Doctor Copper is back in the emergency room. As copper goes, so goes stocks.

Bears need to keep copper weak while pulling utilities lower and pushing volatility higher. Bears need UTIL below 1122 and 1118 to create a quick downside flush. If the 1118-1122 level fails today or tomorrow, there will be Hell to pay and the stock market may go into a crash profile moving forward.

For next week, since there is only tomorrow remaining in this week's trading due to the Friday holiday, UTIL 1122 becomes a worthless number replaced with 1151.70. Thus, watch utilities closely tomorrow because where they end the week will provide a heads-up on the stock market for next week. If UTIL, or DJU, ends the week below 1152, that will create stock market negativity come Monday morning when traders are hungover from the weekend festivities. UTIL is at 1142 as this is typed looking at the bear camp and deciding if it wants to join. It can join now if it loses 20 points.

Bears also need VIX above 20.46 to create substantive downside damage. If stocks sell off at anytime, for example they are soggy today so far, but the VIX remains below 20.46, the bears got nothing and the bulls will keep smiling. Stock market misery begins in earnest when the VIX pops above 20.46 heading higher.

Bulls win with CPER above 37.88. Bears will win with UTIL below 1118-1122 and stocks will have no chance if VIX pops above 20.46. The price action is flattish today because everyone is waiting for the US Monthly Jobs Report tomorrow morning at 8:30 AM EST. Everyone is Working for the Weekend since it is party time. This song was a party anthem for several years in the 1980's blaring from car windows every Friday across the United States in anticipation of a couple days of fun and frolic ahead. Too bad you losers these days are tied to your jobs via email and such 24/7. Don't you know that will make you mentally disturbed? Take your two days off to recharge your batteries. Go chase some skirts. Turn up the amp. When you hear the cowbell it is time to par-tay!!

7/5/26; 7:00 PM EST =
7/2/26; 9:00 AM EST =
6/30/26; 7:00 PM EST EOM EOQ2 EOH1 = +38; signal line is +35
6/30/26; 10:44 AM EST = +38; signal line is +34

STOCK MARKET BULLISH -- LONG -- CAUTION

Keybot the Quant flips to the long side today at SPX 7470 after a couple weeks of teasing. The bulls jammed volatility lower, the VIX now sporting a 16 handle, and goosed copper higher. Doctor Copper jumped off the gurney and is dancing a jig although his legs remain weak.

CPER 37.91 is the bull/bear line in the sand and price is a hair below as this is typed. As copper goes, so goes the market. Bulls need CPER back above 37.91 or they got nothing. Utilities were weak out of the gate this morning but recovered.

Volatility, utilities and copper are the main drivers of the stock market currently. Vol and utes are liking their accommodations in the bull camp and are inclined to stay a while. Copper is the decider. Bulls win with CPER above 37.91 while bears will win the battle below.

On the last trade, that ran for the whole month of June, humorously, it feels like it was three months, the quant program gains a percent  and the actual trading ends up with buptkis. Stocks were all over the place and after a month ended up where they started. For the year thus far, with today marking the EOM, EOQ2 and EOH1, the benchmark S&P 500 is up +9% so the bulls are happy. The quant program is up +5% on the year and the actual trading is up only a percent this year underperforming the benchmark SPX by about 8 percentage points. The robot exited QID and entered SSO remaining in the 2x ETF's.

Copper tells the story this week and then volatility and utilities will take the ball from there. Do not be surprised if the quant whipsaws back to the short side since the algo number is only 4 points above the signal line. The bulls shout, "Let's go!" Blitzkrieg Bop. Dee Dee always yells, "1-2-3-4!" Those were the days.

7/5/26; 7:00 PM EST =
7/2/26; 9:00 AM EST =
6/30/26; 7:00 PM EST EOM EOQ2 EOH1 =
6/30/26; 10:44 AM EST = +38; signal line is +34
6/30/26; 10:27 AM EST = +54; signal line is +34
6/30/26; 10:04 AM EST = +38; signal line is +33; go long 7470 (Benchmark SPX for 2026 = +9.1%)(Keybot algo this trade = +1.2%; Keybot algo for 2026 = +4.5%)(Actual results this trade = -0.2%; Actual results for 2026 = +1.4%)
6/30/26; 10:00 AM EST = +38; signal line is +33 but algorithm remains short
6/29/26; 9:36 AM EST = +39; signal line is +32 but algorithm remains short
6/28/26; 7:00 PM EST = +23; signal line is +32
6/26/26; 10:00 AM EST = +23; signal line is +32
6/23/26; 9:36 AM EST = +23; signal line is +33
6/21/26; 7:00 PM EST = +39; signal line is +33 but algorithm remains short
6/18/26; 3:33 PM EST = +39; signal line is +31 but algorithm remains short
6/18/26; 3:08 PM EST = +23; signal line is +30
6/18/26; 9:36 AM EST = +39; signal line is +30 but algorithm remains short
6/17/26; 3:25 PM EST = +23; signal line is +29
6/16/26; 9:00 AM EST = +39; signal line is +29 but algorithm remains short
6/15/26; 10:15 AM EST = +39; signal line is +29 but algorithm remains short
6/15/26; 9:36 AM EST = +23; signal line is +28
6/14/26; 7:00 PM EST = +39; signal line is +29 but algorithm remains short
6/12/26; 3:59 PM EST = +39; signal line is +29 but algorithm remains short
6/12/26; 3:39 PM EST = +23; signal line is +28
6/12/26; 2:37 PM EST = +39; signal line is +27 but algorithm remains short
6/12/26; 11:01 AM EST = +23; signal line is +26
6/12/26; 10:42 AM EST = +37; signal line is +27 but algorithm remains short
6/12/26; 10:09 AM EST = +53; signal line is +26 but algorithm remains short
6/12/26; 10:00 AM EST = +37; signal line is +26 but algorithm remains short
6/11/26; 1:38 PM EST = +37; signal line is +25 but algorithm remains short
6/11/26; 8:24 AM EST = +23; signal line is +25
6/11/26; 8:03 AM EST = +37; signal line is +25 but algorithm remains short
6/11/26; 7:01 AM EST = +23; signal line is +24
6/11/26; 4:07 AM EST = +37; signal line is +24 but algorithm remains short
6/10/26; 10:51 AM EST = +23; signal line is +23 but algorithm remains short
6/10/26; 9:48 AM EST = +37; signal line is +23 but algorithm remains short
6/10/26; 4:50 AM EST = +23; signal line is +23 but algorithm remains short
6/9/26; 1:41 PM EST = +37; signal line is +23 but algorithm remains short
6/9/26; 12:07 PM EST = +23; signal line is +24
6/8/26; 9:52 AM EST = +37; signal line is +24 but algorithm remains short
6/8/26; 3:06 AM EST = +21; signal line is +25
6/7/26; 7:00 PM EST = +7; signal line is +25
6/5/26; 3:59 PM EST = +7; signal line is +27
6/5/26; 3:50 PM EST = +21; signal line is +28
6/5/26; 3:21 PM EST = +7; signal line is +29
6/5/26; 3:09 PM EST = +21; signal line is +30
6/5/26; 2:03 PM EST = +37; signal line is +31 but algorithm remains short
6/5/26; 10:56 AM EST = +21; signal line is +31
6/5/26; 9:00 AM EST = +37; signal line is +32 but algorithm remains short
6/4/26; 9:36 AM EST = +37; signal line is +33 but algorithm remains short
6/3/26; 3:59 PM EST = +21; signal line is +33
6/3/26; 12:27 PM EST = +5; signal line is +34; go short 7559 (Benchmark SPX for 2026 = +10.4%)(Keybot algo this trade = +2.5%; Keybot algo for 2026 = +3.3%)(Actual results this trade = +4.9%; Actual results for 2026 = +1.6%)

STOCK MARKET BEARISH -- SHORT -- CAUTION -- TURN MAY BE IMMINENT

Keybot the Quant remains short and was not impressed with last week's action. The robot only printed 2 numbers last week and one was a prescheduled number on Friday. Perhaps the quant will be awakened from its idle slumber in the holiday-shortened week ahead.

Utilities, copper and volatility are running the show right now. The bulls jammed utes higher last week to try and take out the risk of a major crash in stocks. The UTIL lines in the sand this week are 1121.89 and 1118. Price begins at 1166 so this surpasses the 1122 and will create bullishness in the stock market. The bears need to pull UTIL, or DJU, below 1122 pronto to prove they still got downside game.

For the week of 7/6/26, UTIL 1151.70 will be a line in the sand replacing the 1121.89. Perhaps the bulls can keep utes elevated this week but watch the closing price on Thursday afternoon to receive a heads-up for the following week.

There is a lot jammed into this week only a 4-day week due to the July 4th holiday weekend. US markets are closed on Friday. Keybot the Quant prints a prescheduled number on Tuesday morning and then on Tuesday evening since it is the end of June trading that is also the end of the first quarter and the end of the first half of the year. Time flies when you're having fun. Keybot prints a prescheduled number on Thursday morning before the opening bell.

VIX 20.67 is a key line in the sand for the week ahead. Price begins at 18.41 in overnight trading so watch to see if it wants to run above 20 and higher, or not. Rising volatility would create negativity offsetting the positivity from the utilities.

CPER 37.93 is another line in the sand with price starting at 37.33 creating negativity. This corresponds to about a +1.6% gain in copper futures that the bulls need so watch that overnight. Commodities and copper have collapsed as oil prices retreat so goods inflation, and to some extent services inflation, should decrease going forward contrary to Fed Chairman Warsh's comments otherwise.

UTIL above 1122 will place the model in position to go long. If the SPX then runs above 7393 heading higher (about +40 points on the S&P futures), Keybot the Quant will likely flip long, hence the imminent turn notation in the title line. If CPER can regain 37.93, the bulls will be throwing a bigtime upside party.

The bears are likely going to have to live with the utes turning positive so their focus will be to prevent SPX 7393 from happening at all costs. The bears need VIX above 20.67 to introduce serious selling pressure. It has been a lot of choppy baby stuff the last couple weeks because volatility remains tame.

Bulls win big with UTIL above 1122, SPX above 7393, and CPER above 37.93.

Bears win big if they can pull UTIL below 1122 or at least end the week on Thursday with UTIL below 1152 to set up trouble for the following week. Bears need VIX above 20.67 to create stock market ugliness. Bears are going to fold like your cheap suit if they cannot push volatility higher.

The bulls can take the ball and run with it so it will be an interesting couple days to close out June trading. The US and Iran keep trading missile and drone strikes around the Strait of Hormuz. A wild card would be stocks tanking out of the gate Monday because King Donnie is clueless and has no strategy for his Iran War. Futures begin trading at 6 PM EST 12 hours from now. No doubt Donnie will bloviate this afternoon to try and influence the futures trading.

7/5/26; 7:00 PM EST =
7/2/26; 9:00 AM EST =
6/30/26; 7:00 PM EST EOM EOQ2 EOH1 =
6/30/26; 10:00 AM EST =
6/28/26; 7:00 PM EST = +23; signal line is +32
6/26/26; 10:00 AM EST = +23; signal line is +32
6/23/26; 9:36 AM EST = +23; signal line is +33

STOCK MARKET BEARISH -- SHORT -- CAUTION

Keybot the Quant remains short with the algo number 10 points below the signal line. The robot is sleepy this week despite the daily drama. The bulls are goosing utilities this week. They figure that if a stock market selloff occurs they at least want to try and take a crash scenario off the table.

The bulls need UTIL, or DJU, above 1180 tomorrow and stocks will catapult higher. Price begins the session at 1158. For next week, the 1180 is meaningless and replaced with 1122. With price up at 1158 well above 1122, the bulls will have a big advantage when they come to play on Monday. Bulls need a +3% rally in copper to create a lot of upside strength for stocks a formidable task.

For the bears that comically remain in control through all the turmoil, higher volatility is needed to slice the market open and let it bleed out onto Wall and Broad. Bears need VIX above 20.68 and moving higher for all Hell to break loose in the stock market. If VIX remains below 20.68, the bears got buptkis.

Bulls will win with UTIL above 1180 and/or CPER above 37.93.

Bears win if VIX moves above 20.68. Bears must find a way to weaken the utilities and send them lower below 1116-1122.

Keybot the Quant prints the prescheduled number tomorrow morning shortly after the opening bell. A new one from Jesse Welles called Won't You Come Out Tonight?.

6/28/26; 7:00 PM EST =
6/26/26; 10:00 AM EST =
6/23/26; 9:36 AM EST = +23; signal line is +33

STOCK MARKET BEARISH -- SHORT -- CAUTION

Keybot the Quant remains short with the algo number 10 points below the signal line. The bulls had the stock market on a silver platter yesterday but they did not want it. The one thing they did not want to see was a gap up open but that is what occurred.  Typically, a gap up move results in stocks pulling back. Conversely, a gap down move at the open typically leads to a recover rally. The SPX jumped higher on Monday but in quick order it fell on its sword.

Overnight, the KOSPI (South Korea) crashes -10% opening the door to a tech rout. The tech selloff cascades around the globe and US stocks are soggy today.

Interestingly, utilities have not failed at the 1116-1117 line in the sand. Price rallies to 1139. Doctor Copper collapsed creating the weakness in stocks. CPER 37.96 is the line in the sand and price at 37.52 creates negativity in the stock market. Bulls desperately need copper to recover.

The VIX pops on today's sell off to 19.54 but the line in the sand is VIX 20.69. Bears will not create carnage unless they push the VIX above 20.69. That is when the blood will flow on Wall and Broad.

Bears need VIX above 20.69, UTIL below 1117 and weaker retail stocks and banks. This scenario will create pain and misery.

Bulls need CPER above 37.96 to save the day and make the bears look like chumps. Copper and volatility are key with utilities in the mix as well. The bulls are trying to keep utes elevated because that will enable them to experience a run of the mill pullback with stocks instead of a drastic and horrific crash. If UTIL loses 1117, there will be Hell to pay.

6/28/26; 7:00 PM EST =
6/26/26; 10:00 AM EST =
6/23/26; 9:36 AM EST = +23; signal line is +33
6/21/26; 7:00 PM EST = +39; signal line is +33 but algorithm remains short

STOCK MARKET BEARISH -- SHORT -- CAUTION -- TURN MAY BE IMMINENT

Keybot the Quant remains short as the ongoing drama and fight for stock market control continues. The robot wants to flip long with the algo number 6 points above the signal line but the internal parameters will not latch to permit the move. If the SPX moves above 7511 trending higher, Keybot the Quant will likely flip long. You want to see a slow steady move higher not a gap-up open. Watch the S&P futures to see if +11 points are showing.

There are several parameters at play. Retail stocks, banks and copper are key and helping maintain stock market buoyancy. A drop of -2% to -3% for each is needed to create substantive negativity in stocks. Volatility dropped helping the bulls. The VIX needs to climb 4 handles above 20.62 to lock-in serious downside negativity.

Utilities are the key. The market makers know this that is why they stick-saved the utes at the end of the Thursday session. Utilities are important in the very near term and then also for the coming weeks if stocks begin selling off.

UTIL 1180.42 and 1116.40 are the two bull/bear lines in the sand for the week ahead. Price begins at 1120 creating bearishness in stocks since it is below 1180 but also creating stock market lift since it is above the critical 1116. Bears need UTIL, or DJU, below 1116.40 immediately since it will snuff out the bulls hopes for going long.

If UTIL then remains below 1116 trending lower, losing 11 hundo, and the broad stock market is selling off, it tells you that there is a high likelihood that stocks are headed for a major crash. Bulls simply need to keep sending UTIL higher and they will be headed for more new record highs with stocks.

It is a cage match on the Whitehouse lawn with the bulls winning with SPX 7511 and higher versus the bears winning with UTIL 1116 and lower. When you look up rock 'n roll in the dictionary, you see The Rolling Stones. Respectable. We're talking heroin with the president. You're the easiest lay on the Whitehouse lawn.

6/28/26; 7:00 PM EST =
6/26/26; 10:00 AM EST = 
6/21/26; 7:00 PM EST = +39; signal line is +33 but algorithm remains short
6/18/26; 3:33 PM EST = +39; signal line is +31 but algorithm remains short
6/18/26; 3:08 PM EST = +23; signal line is +30
6/18/26; 9:36 AM EST = +39; signal line is +30 but algorithm remains short

STOCK MARKET BEARISH -- SHORT -- CAUTION -- TURN MAY BE IMMINENT

Keybot the Quant remains short as the stock market drama continues. The robot is champing at the bit to go long with the algo number 9 points above the signal line but the internal parameters will not fully latch to permit the move. The SPX will likely need to move above 7565 today to flip the quant long and price is at 7480 in real-time. The bulls have some more wood to chop.

Utilities are key. UTIL 1116.40 is the bull/bear line in the sand and price pops higher to 1120 creating lift in the broad stock market. Bears need UTIL back below 1116 or they got nothing. Bears will not be able to make any headway sending stocks lower unless the VIX moves above 20.72.

Stocks are typically bullish into a 3-day holiday weekend. Markets are closed tomorrow for Juneteenth.

Bears need weaker utes, retail stocks, banks, and copper and higher volatility. Bulls simply need to keep pushing the SPX higher and if they do not have success today, perhaps their persistence will pay off early next week. If UTIL falls back below 1116, and then below 11 hundo, look out below because stocks will likely collapse. Watch the utilities.

6/21/26; 7:00 PM EST =
6/18/26; 9:36 AM EST = +39; signal line is +30 but algorithm remains short
6/17/26; 3:25 PM EST = +23; signal line is +29
6/16/26; 9:00 AM EST = +39; signal line is +29 but algorithm remains short
6/15/26; 10:15 AM EST = +39; signal line is +29 but algorithm remains short

STOCK MARKET BEARISH -- SHORT -- CAUTION -- TURN MAY BE IMMINENT

Keybot the Quant remains short despite the big rally and stock market euphoria.  There are weird things happening. At the open, stocks explode higher because of King Donnie's happy Iran War talk, but utilities fail. That is strange. Utes did rally after that but this drama will likely continue.

When the quant wants to go long, the last thing you want is a gap-up move since it activates a gap timer that forces the robot to wait before flipping long, like this morning. Typically, gap-up moves will fade. There is strange price action occurring. Keybot came very close to flipping long several times today, but each time it would be held back and prevented due to one of the metrics unlatching. Tomorrow may resolve the odd action.

Utilities, commodities and the SPX are all that matter. The quant wants to go long. Keybot the Quant will likely flip long if the SPX moves above 7578. Watch the futures overnight to see if +23 points are there for the bulls, and they do not want to see a big gap-up open again.

Utilities are creating market joy while commodities create negativity. It is a cage match and will be fought in the octagon at the Whitehouse; UTIL versus GTX, be there or be square. Bears need UTIL below 1116.40 to create negativity in the stock market and take away the threat from the bulls flipping the quant long.

Bulls need to prove they got game to take stocks higher so they need commodities. Bulls need GTX above 5230, otherwise, the upside is limited. Bears win with weaker utes while bulls win with stronger commodities and indexes.

Humorously, the quant flipped short on 6/3/26 two weeks ago and the SPX is at about the same price now; a round trip. All the recent downside drama is forgotten when you have two big active stock market pumpers; King Donnie and Mister AI. Domo arigato misuta roboto. Mr Roboto.

6/21/26; 7:00 PM EST =
6/16/26; 9:00 AM EST =
6/15/26; 10:15 AM EST = +39; signal line is +29 but algorithm remains short
6/15/26; 9:36 AM EST = +23; signal line is +28
6/14/26; 7:00 PM EST = +39; signal line is +29 but algorithm remains short

STOCK MARKET BEARISH -- SHORT -- CAUTION -- TURN MAY BE IMMINENT

Keybot the Quant remains short navigating the circus that is called the stock market. Last week was set up for craziness and it did not disappoint. Another King Donnie Chumpski stick save rescues the stock market at least for the near-term. Stocks rally on news that the Iran War situation is resolved, or is it? Retail stocks, banks and copper jump higher sending stocks higher. Interesting, in the smoke and haze, no one noticed that commodities failed. The bulls then pumped utilities higher late in the session on Friday to guarantee the happy ending. Avril and My Happy Ending.

Despite the wild ride, and Keybot spitting out 7 numbers on Friday including the prescheduled number, and the algo number 10 points above the signal line, the robot remains short. The stock market is hanging on news about Donnie's Iran War fiasco. Is there a deal? No deal? A lousy deal? Futures begin trading at 6 PM EST so watch for the rhetoric to heat up this afternoon as Donnie, and Iran, make statements to sway markets and global opinion.

Baby Trump insists that Iran sign an agreement today, on his 80th birthday since symbolism is all that matters to the fool, but Iran says they will definitely not sign the agreement today. Huh? It is all pure jackass stuff. The Middle East is 7 hours ahead so at 5 PM EST (US East Coast time), it will already be Monday in Iran. Thus, the so-called agreement needs to be signed within 12 hours from this message to make the Sunday deadline.

The Fed meeting is Wednesday and Chairman Warsh's debut performance in the top job. Obviously, that will impact markets in the week ahead depending on if he is wearing the black feathered wings for a hawkish position or the white feathered wings, borrowed from the Victoria's Secret show, for a dovish position. The crosscurrents remain a tangled mess. Stocks typically rally into the Fed meeting but today is the peak of the new moon for the month and equities are typically weak moving through the new moon.

Putting all the drama aside, the robot only sees 1's and 0's, and is fixated on utilities, volatility and commodities as the key metrics that will impact stocks out of the gate tomorrow.

Utes and volatility are in the bull camp creating a lift in stocks while commodities are in the bear camp creating negativity. Bears need UTIL below 1115 pronto to prove they got game. Price begins the week at 1116. The quant has told you many days that 1115 is key and you saw price continuing to come up, and get spanked down from that level, until Friday when it poked up through albeit by a hair. Utilities are key because they tell you if the pullback in stocks will be a run of the mill selloff followed by a recovery, or if stocks will go into a crash or semi-crash profile. It is fun stuff.

Bears also need VIX above 20.70 or they got nothing. Equities may sell off but if the VIX remains below 20.70, the bears got buptkis, and stocks will recover and rally.

The bulls want to flip the model short right now and need to show up Monday loaded for bear if they want to take control of the stock market. The bulls need the SPX to move above 7456 and Keybot the Quant will likely flip long. The S&P 500 begins at 7431 so watch the futures overnight to see if +25 points are there for the bulls.

Bulls also need stronger commodities if they want to make a run higher again. Bulls need GTX above 5236 with price starting at 5224. Friday's action was wild because commodities failed before munch time and the quant was finally ready to flip long with the internals latching properly, but the algo number was not above the signal line, and then when utilities won the day late in the session placing the algo number back above the signal line, the internal parameters would not fully latch again to permit the move to the long side. It is wild and crazy stuff. Two Wild and Crazy Guys.

Simplifying, bulls need SPX 7456 to flip the model long. GTX above 5236 will then create a stronger rally for stocks. Bears simply need to push UTIL, or DJU, below 1115, only a point away, to keep the stock market ball firmly in their hands. Bears will create a new leg lower in the stock market if the VIX pops above 20.70 so keep an eye on that overnight.

If you have a limited platform, you can keep track of the commodities price at stockcharts.com with the $GTX symbol. The world awaits more Donnie comments on the Iran War debacle. Trumpski should have listened to Edwin. War. Good God y'all.

6/21/26; 7:00 PM EST =
6/16/26; 9:00 AM EST =
6/14/26; 7:00 PM EST = +39; signal line is +29 but algorithm remains short
6/12/26; 3:59 PM EST = +39; signal line is +29 but algorithm remains short
6/12/26; 3:39 PM EST = +23; signal line is +28
6/12/26; 2:37 PM EST = +39; signal line is +27 but algorithm remains short
6/12/26; 11:01 AM EST = +23; signal line is +26
6/12/26; 10:42 AM EST = +37; signal line is +27 but algorithm remains short
6/12/26; 10:09 AM EST = +53; signal line is +26 but algorithm remains short
6/12/26; 10:00 AM EST = +37; signal line is +26 but algorithm remains short
6/11/26; 1:38 PM EST = +37; signal line is +25 but algorithm remains short

STOCK MARKET BEARISH -- SHORT -- CAUTION -- TURN MAY BE IMMINENT

Keybot the Quant remains short through the stock market turmoil today. King Donnie Chumpski, of course after the told his family and friends to go long, proclaimed that Iran has agreed to a deal. Volatility collapses and stocks launch higher like a rocket. The day takes on a festive atmosphere after Donnie intervened to pump equities higher at 1:30 PM EST.

Volatility is the main driver of stock market direction this week so far. The VIX remained above the critical 20.76 line in the sand so the bears were smiling. Then, when Trumpski proclaimed that Iran agreed to a deal, the VIX collapses to a 19 handle. Comically, an hour after Donnie's decree, both Iran and Israel say deal? What Deal? Who? Lebanon, too. Donnie was blowing some smoke but people do not care since they are too busy buying stocks sending the indexes into the stratosphere recovering all of yesterday's losses then some.

Keybot the Quant is champing at the bit to go long with the algo number 12 points above the signal line but the internal parameters are not yet fully latched. The robot will likely flip long tomorrow if the SPX moves above 7413 so watch to see if the S&P futures are up +19 points overnight.

Bears need VIX above 20.76 to maintain control of the stock market. Bears will be helped by higher volatility and lower banks and commodities.

Bulls need SPX above 7413 to open the door to higher prices. Bulls will also be helped if utilities rally. A signal line at 25 is serving as a baseline. In the year 2525, if man is still alive, if woman can survive.... Zager & Evans. 

6/14/26; 7:00 PM EST =
6/12/26; 10:00 AM EST =
6/11/26; 1:38 PM EST = +37; signal line is +25 but algorithm remains short
6/11/26; 8:24 AM EST = +23; signal line is +25
6/11/26; 8:03 AM EST = +37; signal line is +25 but algorithm remains short
6/11/26; 7:01 AM EST = +23; signal line is +24
6/11/26; 4:07 AM EST = +37; signal line is +24 but algorithm remains short

STOCK MARKET BEARISH -- SHORT -- CAUTION -- TURN MAY BE IMMINENT

Keybot the Quant remains short but is champing at the bit to go long with the algo number 13 points above the signal line. Volatility is running the show. The VIX 20.77 line in the sand gave way minutes ago. Volatility controls stock market direction (inversely). The VIX is at 20.62. Bears need the VIX back above 20.77 or they will fold like your cheap suit.

Banks and retail stocks are in play and in the bull camp helping stocks move higher. Bears need XLF below 51.52 if they want to create selling pressure.

Utilities remain in the mix. Bulls need UTIL, or DJU, above 1115 and there will be a big rally higher in equities.

Copper and commodities are also in the mix. Copper has been pulling back after its orgy. A drop of -0.7% in copper futures will cause trouble for stocks and the futures are down -0.5% as this is typed.

What does all the mumbo jumbo mean? Bears need VIX above 20.77 pronto or they will lose the narrative. Bears need a -0.7% drop in copper futures to create stock market weakness and XLF below 51.52 will push everything over the hill into the trash dump.

Bulls need the SPX to recover yesterday's losses to flip the model long a formidable task. Bulls need to keep the VIX below 20.77 since that will keep the bears in a head lock and allow for a day or two of adjustment to where they can take control. Bulls need UTIL above 1115 that will open the door to upside joy.

That is a lot of moving parts each wanting a say in where the stock market is headed; volatility, copper, banks, retail stocks, commodities and utilities. Speaking of moving parts, Tina Turner sure had a lot of them. She was an excellent performer. John Fogerty of CCR wrote Proud Mary but Tina owned it.

6/14/26; 7:00 PM EST =
6/12/26; 10:00 AM EST =
6/11/26; 4:07 AM EST = 37; signal line is +24 but algorithm remains short
6/10/26; 10:51 AM EST = 23; signal line is +23 but algorithm remains short
6/10/26; 9:48 AM EST = 37; signal line is +23 but algorithm remains short
6/10/26; 4:50 AM EST = 23; signal line is +23 but algorithm remains short
6/9/26; 1:41 PM EST = 37; signal line is +23 but algorithm remains short
6/9/26; 12:07 PM EST = 23; signal line is +24
6/8/26; 9:52 AM EST = 37; signal line is +24 but algorithm remains short
6/8/26; 3:06 AM EST = 21; signal line is +25
6/7/26; 7:00 PM EST = +7; signal line is +25

STOCK MARKET BEARISH -- SHORT

Keybot the Quant remains short. Friday was a mini Black Friday with the robot cruising along on the short side with the algo number 18 points below the signal line.

During the last hour of trading, volatility gave up the ship confirming the downside pain. There are many moving parts and undercurrents in the stock market currently.

Utilities, retail stocks and volatility are in the bear camp creating the Friday swoon. Banks, copper and commodities are in the bull camp trying to hold back the bears from driving stocks far lower. 

Volatility will trade overnight and play at the VIX 20.52 line in the sand. Price is at 21.51 creating stock market negativity. Bears need the VIX to move higher. Bulls desperately need the VIX below 20.52 or they got buptkis and face nothing but pain and misery going forward.

Bulls also need UTIL above 1113.84 starting at 1110. Volatility and utes will tell you if the bulls have any hope going forward. If stocks rally and the dip-buyers are throwing cash at the market, but the VIX remains above 20.52, stocks will reverse and fall apart again.

Bears need banks and copper to drop about -1.7% each to create a big downside push and begin a rout. Bears need XLF below 51.43 and CPER below 37.38 to create market mayhem.

Keybot the Quant prints one prescheduled number this week on Friday morning shortly after the opening bell. Bulls are cheering for lower volatility and stronger utes while bears are cheering for weaker banks and copper to begin serious downside damage. Keep an ear to the wires this afternoon to see if King Donnie tries to pump the S&P futures that begin trading at 6 PM EST. Bring in the cheerleaders for Smells Like Teen Spirit.

6/14/26; 7:00 PM EST =
6/12/26; 10:00 AM EST =
6/7/26; 7:00 PM EST = +7; signal line is +25
6/5/26; 3:59 PM EST = +7; signal line is +27
6/5/26; 3:50 PM EST = +21; signal line is +28
6/5/26; 3:21 PM EST = +7; signal line is +29
6/5/26; 3:09 PM EST = +21; signal line is +30
6/5/26; 2:03 PM EST = +37; signal line is +31 but algorithm remains short
6/5/26; 10:56 AM EST = +21; signal line is +31

STOCK MARKET BEARISH -- SHORT -- CAUTION

Keybot the Quant remains short as the stock market turmoil continues. Retail stocks fail back into the bear camp creating market weakness. Banks remain elevated helping stocks remain buoyant. Utilities keep hanging around the critical UTIL 1113.90 line in the sand on the bear side. Stocks will recover if UTIL moves above 1114.

Stocks will collapse if XLF loses 51.37 but price remains above 52 having a good ole time.

The bulls can stabilize the stock market and help stocks recover if XRT recovers back above 83.33.

Thus, retail stocks, utes and banks are running the show. Bulls need stronger retail stocks and utilities while bears need weaker banks. Traders watch the drop as Sports Team sings The Drop. Let it drop. Maybe a Black Friday?

6/7/26; 7:00 PM EST =
6/5/26; 10:56 AM EST = +21; signal line is +31
6/5/26; 9:00 AM EST = +37; signal line is +32 but algorithm remains short
6/4/26; 9:36 AM EST = +37; signal line is +33 but algorithm remains short

STOCK MARKET BEARISH -- SHORT -- CAUTION -- TURN MAY BE IMMINENT

Keybot the Quant remains short as the chop suey baby games continue. The quant wants to flip long again with the algo number 4 points above the signal line, out of the gate this morning, but the internal parameters would not fully latch to permit the move, so the robot remains short. If the SPX moves above 7598 tomorrow, starting at 7584, Keybot the Quant will likely flip long. Thus, the imminent turn notation is in the title line again. Watch the S&P futures to see if 14 points are there.

The bulls had an easy time to keep the stock market afloat today with the US Monthly Jobs Report on deck in the morning. Traders are content to hold tight and wait for the BLS numbers at 8:30 AM EST.

The bulls came to play today, knowing that stocks were about to slip away. They pumped banks, retail stocks and utilities like madmen trying to keep the bull party going. Utilities and retail stocks fell on their sword after the big opening spikes higher. Banks, however, remained in orgy mode all day long gaining almost +3%.

The robot is tracking the SPX 7598, XRT 83.33, XLF 51.37, and UTIL 1114 lines in the sand. Retail stocks and banks are in the bull camp creating upside in equities while utes are in the bear camp creating downside for stocks.

Bulls need SPX above 7598 to flip the quant long and verify the bull party into the weekend. If XRT loses 83.33, it is only 20 cents away, all bets are off and the quant will likely not flip long.

Bears must prevent SPX 7598 from printing and pull XRT below 83.33, and then XLF below 51.37. This activity would create mayhem in the stock market.

Bulls stopped UTIL at 1100 overnight tonight within striking distance of the critical 1114 tomorrow. It is a battle royale. Lorde sings Royals. The bulls must push UTIL above 1114 asap or face grave consequences ahead. Watch it out of the gate in the morning. If you see stocks up and utilities jump higher and over the 1114, it will be a huge bull orgy into the weekend.

Hopefully, all that is clearer than mud albeit only slightly. Bulls need a stronger SPX to flip the quant long and stronger utilities will create euphoric bull joy.

Bears need to keep utes below 1114 and pull retail stocks lower. That will create a path to pain and misery for stocks. There was only one Big Iz.

6/7/26; 7:00 PM EST =
6/5/26; 9:00 AM EST =
6/4/26; 9:36 AM EST = +37; signal line is +33 but algorithm remains short
6/3/26; 3:59 PM EST = +21; signal line is +33

STOCK MARKET BEARISH -- SHORT -- CAUTION

Keybot the Quant flips short today at munchtime at SPX 7559. It is about time looking back at that trail of sordid trading since late May.  The quant wanted to go short more than long, during the time it was long.

The SPX prints the all-time high at 7620.90 and all-time closing high at 7609.78 on Tuesday, 6/2/26.

The banks and retail stocks both slipped on a banana peel out of the gate this morning. This weakness created a pall on the market. The bulls jammed the utilities higher to try and stave off the bears but failed. UTIL came up to test the critical 1114 line in the sand only to fail miserably and collapse to 1095. This price action in utes is a very bad omen and places a crash scenario for the stock market on the table going forward.

At the end of the session, the bulls were pumping retail stocks like mad and managed to push the XRT to 83.37 only 3 measly pennies above the 83.34 line in the sand. PVH takes the pipe in afterhours trading crashing -22%. Wow. PVH is retail so retail stocks in general should take the pipe tomorrow and XRT will likely flip negative again.

The bears need XRT below 83.34 to start pushing stocks lower and get the ball rolling downhill.

The bulls need to keep XRT above 83.34 and then push XLF above 51.32. These two metrics will tell you stock market direction tomorrow.

On the last trade that ran for a couple weeks, the quant program gains +2.5% exactly reversing the prior trade's loss. The actual trading generated by the quant gains +5%. For the year, the benchmark S&P 500 moves into double-digits up +10.4%. The bulls are walking around with their chests puffed out singing, "We're in the Money." For the year, the quant program is up +3% and the actual trading is up a couple percent underperforming the SPX by 8 percentage points. Keybot the Quant exited SSO and entered QID.

6/7/26; 7:00 PM EST =
6/5/26; 9:00 AM EST =
6/3/26; 3:59 PM EST = +21; signal line is +33
6/3/26; 12:27 PM EST = +5; signal line is +34; go short 7559 (Benchmark SPX for 2026 = +10.4%)(Keybot algo this trade = +2.5%; Keybot algo for 2026 = +3.3%)(Actual results this trade = +4.9%; Actual results for 2026 = +1.6%)
6/3/26; 9:36 AM EST = +5; signal line is +35 but algorithm remains long
6/2/26; 10:58 AM EST = +37; signal line is +36
6/2/26; 9:58 AM EST = +21; signal line is +37 but algorithm remains long
6/2/26; 9:36 AM EST = +37; signal line is +38 but algorithm remains long
6/1/26; 3:36 PM EST = +21; signal line is +37 but algorithm remains long
6/1/26; 1:48 PM EST = +37; signal line is +38 but algorithm remains long
6/1/26; 1:07 PM EST = +21; signal line is +38 but algorithm remains long
6/1/26; 12:30 PM EST = +5; signal line is +39 but algorithm remains long
6/1/26; 11:24 AM EST = +21; signal line is +39 but algorithm remains long
6/1/26; 10:39 AM EST = +5; signal line is +39 but algorithm remains long
6/1/26; 10:23 AM EST = +21; signal line is +40 but algorithm remains long
5/31/26; 7:00 PM EST EOM = +37; signal line is +40 but algorithm remains long
5/29/26; 9:50 AM EST = +37; signal line is +40 but algorithm remains long
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
5/26/26; 10:06 AM EST = +53; signal line is +39
5/26/26; 10:00 AM EST = +37; signal line is +38 but algorithm remains long
5/26/26; 9:36 AM EST = +37; signal line is +39 but algorithm remains long
5/24/26; 7:00 PM EST = +53; signal line is +39
5/22/26; 10:00 AM EST = +53; signal line is +39
5/21/26; 9:58 AM EST = +53; signal line is +38
5/21/26; 9:00 AM EST = +37; signal line is +38 but algorithm remains long
5/20/26; 3:53 PM EST = +37; signal line is +39 but algorithm remains long
5/20/26; 2:41 PM EST = +53; signal line is +40
5/20/26; 11:30 AM EST = +37; signal line is +41 but algorithm remains long
5/20/26; 9:56 AM EST = +53; signal line is +42; go long 7378 (Benchmark SPX for 2026 = +7.8%)(Keybot algo this trade = -2.5%; Keybot algo for 2026 = +0.8%)(Actual results this trade = -4.4%; Actual results for 2026 = -3.3%)

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

Keybot the Quant remains long as the stock market moves to and fro on Donnie Chump's words. The robot wants to flip short but the internal parameters will not fully latch to permit the change.

For the bulls, it is simple. They have banks, retail stocks and commodities in their camp. The bulls need utilities on their side to take stocks to further highs. Interestingly, utes failed in a major way last week. The bulls need to push UTIL above 1112.42 and then 1162 this week. Price starts at 1109 so the bulls need to find 4 bucks to signal the all-clear for more upside joy. If you see utilities trading lower, the stock market is likely headed lower.

For the bears, trying to wrestle the market back into their camp, the utilities must stay negative (UTIL under 1112.42). If the SPX loses the 7564 level, Keybot the Quant will likely flip short.

Bears must drag down banks, retail stocks and commodities if they want to take stocks lower. Bears need XLF below 51.29, XRT below 83.27, and/or GTX below 5214. All three metrics are in striking distance and doable. If 1 of the 3 turns bearish, the quant will likely flip short or already be short. If 2 of the 3 turn negative, stocks will be dropping like rocks. If all 3 fail, look out below.

Keybot the Quant prints a prescheduled number this week on Friday morning before the opening bell. Bears need SPX below 7564 to take control of the stock market. Bulls simply need stronger utilities. We are in a Situation.

6/7/26; 7:00 PM EST =
6/5/26; 9:00 AM EST =
5/31/26; 7:00 PM EST EOM = +37; signal line is +40 but algorithm remains long
5/29/26; 9:50 AM EST = +37; signal line is +40 but algorithm remains long

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

Keybot the Quant remains long but is champing at the bit to go short with the algo number 3 points below the signal line. Banks rallied sending XLF higher out of the gate creating stock market bullishness.

However, utilities fail. This is bigtime. It is surprising that the SPX did not drop more intraday. The utilities failed when the SPX almost tagged 7600 and price rolled over dumping about 35 points in about as many minutes call it a point a minute to the downside intraday but stocks line out sideways on the King Donnie Chump Iran War happy hype.

The SPX prints a new all-time high at 7599.38 and new all-time closing high at 7580.06. The screen printer plans to work all weekend long to produce the "SPX 7.6K" hats that Wall Street wants delivered on Monday morning before the opening bell.

Stocks should have collapsed after the utility trap-door opened, and did with a quick 35-point flush, but are supported on the hope that the Iran War will end and the Strait of Hormuz will reopen. King Donnie massages the markets proclaiming that he is in a meeting to discuss the fate of Iran, and the market gives him the benefit of the doubt into the weekend.

Next week will be all about utes, banks and commodities. The UTIL 1112.42 line in the sand is uber important with price starting Monday at 1109 in the bear camp. What do you think? A potential Black Monday ahead? Everyone is flying in the Danger Zone and they do not know it.

5/31/26; 7:00 PM EST EOM =
5/29/26; 9:50 AM EST = +37; signal line is +40 but algorithm remains long
5/28/26; 3:36 PM EST = +53; signal line is +40

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

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

Keybot the Quant remains long but is champing at the bit to go short with the algo number one point below the signal line. The stock market is a coin-flip nowadays.

Utilities and banks are bullish creating buoyancy in the stock market while utilities and retail stocks are bearish wanting stocks to retreat.

The bulls have UTIL above 1112 and XLF above 51.27 so every day is a par-tay.

The bears have UTIL below 1171 and XRT below 83.19 wanting to create doom and gloom.

If the SPX drops below 7501 trending lower, Keybot the Quant will likely flip short but alas, the S&P futures are up +20 points with the cash open about 3-1/2 hours away.

XLU trades flat in the premarket so UTIL, or DJU, will likely stumble sideways like cousin Larry at the Memorial Day party.  XRT trades flat not giving up its hand. XLF is up a smidge trying to hold onto the 52 handle. Thus, the battlefield is status quo for now.

SPX 7501, UTIL 1112 and 1171, XRT 83.19 and XLF 51.27 are all that matter. I live among the creatures of the night, city lights, painted girls, in the day, nothing matters. Laura is losing her Self Control. One of those metrics above will flinch and tell you the stock market direction ahead.

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

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

Keybot the Quant remains long. Utilities, retail stocks and banks are the three metrics driving stock market direction currently. XRT 83.23 is the bull/bear line in the sand with price below at 82.54 creating bearishness. The stock market cannot make new record highs unless XRT moves above 83.23. The bulls were pumping retail stocks like madmen on Friday.

The XLF 51.15 palindrome is the line in the sand for the banksters with price at 51.94 creating bullishness in the stock market. Equities will be sliding down the rabbit hole if XLF loses 51.15.

UTIL 1111 and UTIL 1171 are the two key numbers for utilities in the holiday-shortened week ahead. That is a lot of one's. One by 3 Dog Night was a big hit in the late 60's and early to mid 70's. One is the loneliest number that you'll ever do. 

UTIL, or DJU, begins Tuesday trading at 1132. Again, the bulls were pumping utes like mad on Friday. They know what they have to do if they want to keep the stock market heading higher. Thus, mathematicians say thus a lot, that is why they are never invited to parties, when trading begins next week, utilities will immediately fall into the bear camp below 1171. Pay close attention to the utes. If the bulls are pumping and utilities are heading strongly higher, that may hint that the 1171 is achievable. If the bears come to play and utes are trading lower on Tuesday, that is likely a very negative sign for stocks ahead.

If retail stocks and banks remain status quo, or weaken, and UTIL begins next week 39 points below its goal that it will at least in the opening minutes, and the SPX trades below 7463 trending lower, Keybot the Quant will likely flip short. Hence, the imminent turn notation remains in the title line. Keybot only sees 1's and 0's so it will be interesting to see how it works out. King Donnie Chumpski says a deal on the Iran War is imminent, or a framework for a deal, so that should impact markets on Tuesday.

Keybot the Quant prints a prescheduled number on Tuesday and the last day of trading for May is Friday. Memorial Day. Taps.

5/31/26; 7:00 PM EST EOM =
5/26/26; 10:00 AM EST =
5/24/26; 7:00 PM EST = +53; signal line is +39
5/22/26; 10:00 AM EST = +53; signal line is +39

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

Keybot the Quant remains long as the market machinations continue. The bulls are in control with the algo number 14 points above the signal line. The bulls goosed utilities, retail stocks and banks to create a happy mood into the long holiday weekend.

UTIL is pumped to 1132 to keep the stock market buoyant but this is not enough to avoid angst come Tuesday morning when US stocks reopen for trading. The robot will likely be champing at the bit to go short out of the gate on Tuesday morning so the imminent turn notation remains in the title line. All that matters is utes, banks and retail stocks. Walk carefully through the mine field. Since You've Been Gone by The Outfield.

5/24/26; 7:00 PM EST =
5/22/26; 10:00 AM EST = +53; signal line is +39
5/21/26; 9:58 AM EST = +53; signal line is +38
5/21/26; 9:00 AM EST = +37; signal line is +38 but algorithm remains long
5/20/26; 3:53 PM EST = +37; signal line is +39 but algorithm remains long

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

Keybot the Quant flips to the long side yesterday after the opening bell at SPX 7378. Banks and utes jumped into the bull camp so the fix was in out of the gate. However, as the odd bazaar month of May continues, the quant is already champing at the bit to flip short with the algo number 2 points below the signal line.

The banks and utes will continue running the show. Retail stocks are trying to catch a bid and the bulls need a big recovery in this sector to carry the stock market higher. XRT 83 on the dot is the line in the sand with price at 81 sneaking higher. For now, it remains bearish causing negativity.

XLF 51.14 is the line in the sand for the banksters with price at 51.66 creating stock market bullishness.

UTIL, or DJU, 1110.50 is the line in the sand and price danced to and fro across this important metric yesterday finishing on the bear side at 1108. Bulls need UTIL above 1110.50 immediately to prove they got game, otherwise, they will likely fold like your cheap suit.

The UTIL 1110.50 line in the sand remains in play and will likely tweak a hair higher going into next week. UTIL 1089 was the other line in the sand this week that would signal stock market doom but the bulls would not let that occur. The 1089 is in play through tomorrow but at 4 PM EST it is a worthless number replaced with 1171. The bulls must rally the utilities  63 points higher over the next 2 days, otherwise, the stock market will start out with a demerit and negativity on Tuesday morning (US markets are closed Monday for Memorial Day and will reopen on Tuesday).

Watch utes closely because their direction and strength of move in either direction will be telling. Maybe the bulls pull off 1171 by tomorrow afternoon? Maybe the bears flush the stock market down the toilet driving UTIL below 1089 today or tomorrow?

If the SPX moves below 7358 trending lower, Keybot the Quant will likely flip short. If XLF loses 51.14, stocks will be slipping away. If UTIL loses 1089, Goodnight Irene. Good ole Leadbelly.

Bulls need UTIL immediately above 1110.50 to maintain dignity. It would be very telling going forward if utilities are weak today. Once bulls push DJU back above 1110.50, they will focus on pumping retail stocks higher and XRT above 83 that will guarantee new all-time highs for stocks again.

On the last trade that ran for 2-1/2 weeks, a very odd period for the stock market, that continues, the quant program loses -2.5% and the actual trading loses -4.4%. Interestingly, the robot wanted to flip long several times over the last 2 weeks as previously explained, but did not, until now. For the year thus far with almost 5 months in the bag, the benchmark S&P 500 is up +8%. The Keybot the Quant algorithm is up a percent and the actual trading generated by the quant is down three percent. The robot is taking it on the chin thus far this year but in the world of algo trading is doing a great job at riding the bucking bronco. The markets are chop suey, juking and jiving, chewing up bulls and bears alike. The actual trading is underperforming the SPX benchmark by 11%. That is not good but there is plenty of year ahead. Keybot the Quant has never had a down year since it went on line in 2008. Will this year be its Waterloo as Stonewall Jackson sang? Probably not.

Keybot the Quant prints a prescheduled number in about 2 hours. Banks and utilities are all that matter to stock market direction with the retail sector perhaps wanting to puff its chest.

5/24/26; 7:00 PM EST =
5/22/26; 10:00 AM EST =
5/21/26; 9:00 AM EST =
5/20/26; 3:53 PM EST = +37; signal line is +39 but algorithm remains long
5/20/26; 2:41 PM EST = +53; signal line is +40
5/20/26; 11:30 AM EST = +37; signal line is +41 but algorithm remains long
5/20/26; 9:56 AM EST = +53; signal line is +42; go long 7378 (Benchmark SPX for 2026 = +7.8%)(Keybot algo this trade = -2.5%; Keybot algo for 2026 = +0.8%)(Actual results this trade = -4.4%; Actual results for 2026 = -3.3%)
5/20/26; 9:50 AM EST = +37; signal line is +42
5/19/26; 3:56 PM EST = +21; signal line is +42
5/19/26; 1:33 PM EST = +37; signal line is +43
5/19/26; 12:29 PM EST = +53; signal line is +44 but algorithm remains short
5/18/26; 9:41 AM EST = +37; signal line is +45
5/17/26; 7:00 PM EST = +21; signal line is +46
5/15/26; 3:59 PM EST = +21; signal line is +48
5/15/26; 3:24 PM EST = +37; signal line is +49
5/15/26; 2:51 PM EST = +21; signal line is +50
5/15/26; 12:20 PM EST = +37; signal line is +51
5/15/26; 12:10 PM EST = +21; signal line is +52
5/15/26; 9:37 AM EST = +37; signal line is +54
5/14/26; 9:36 AM EST = +53; signal line is +55
5/13/26; 12:43 PM EST = +37; signal line is +56
5/13/26; 11:01 AM EST = +21; signal line is +57
5/13/26; 10:00 AM EST = +37; signal line is +58
5/13/26; 9:51 AM EST = +53; signal line is +59
5/13/26; 9:39 AM EST = +37; signal line is +59
5/12/26; 11:08 AM EST = +53; signal line is +60
5/12/26; 9:44 AM EST = +37; signal line is +60
5/11/26; 12:28 PM EST = +53; signal line is +62
5/11/26; 12:10 PM EST = +37; signal line is +62
5/11/26; 9:37 AM EST = +53; signal line is +63
5/10/26; 7:00 PM EST = +69; signal line is +63 but algorithm remains short
5/8/26; 10:00 AM EST = +69; signal line is +63 but algorithm remains short
5/8/26; 9:00 AM EST = +69; signal line is +62 but algorithm remains short
5/5/26; 9:38 AM EST = +69; signal line is +62 but algorithm remains short
5/5/26; 9:36 AM EST = +53; signal line is +62
5/4/26; 12:02 PM EST = +37; signal line is +62
5/4/26; 11:22 AM EST = +53; signal line is +63; go short 7198 (Benchmark SPX for 2026 = +5.1%)(Keybot algo this trade = +0.3%; Keybot algo for 2026 = +3.3%)(Actual results this trade = +0.8%; Actual results for 2026 = +1.1%)

STOCK MARKET BEARISH -- SHORT -- CAUTION

Keybot the Quant remains short as the King Donnie Trumpski drama continues. The orange one keeps saying a deal is near with Iran, while he threatens military action, and the schtick is getting old with everyone. Nonetheless, Donnie's words send oil and markets to and fro.

The stock market staggers along following the metrics the quant laid out on the weekend. Utilities and banks are controlling the show right now. The bulls attacked out of the gate this morning pushing utilities higher to try and regain their footing. Banzai! UTIL ran up to 1109-1110 signaling that the bulls got game, but that lasted 5 minutes and the utes folded like a cheap suit.

UTIL 1110.51 (was 1109) and UTIL 1089.25 are the two key bull/bear lines in the sand for utilities. Price is at 1107 creating bullishness because it is above 1089 but also creating bearishness in equities since it is below 1110. Watch the utilities.

XLF 51.12 is the line in the sand for banks. Price slip-slides down to 51.10 creating bearishness albeit by two little pennies. These three metrics will dictate the path ahead for equities.

The Memorial Day holiday is Monday and stocks are typically bullish the two days in front of a three-day holiday weekend, so the professional traders may create buoyancy into the happy weekend when booze will be guzzled, flags will be waved, and copious amounts of hamburgers, hotdogs, corn on the cob, apple pie and watermelon will be consumed.

The scenarios write themselves. The status quo with UTIL price between the two key levels and the XLF below 51.10, will continue creating soggy stocks and a sideways malaise for equities with a downward bias. If UTIL 1089 fails, it is lights out for the stock market.

If copper futures drop about -3% or more, or if the VIX spikes higher above 20, the bears will receive extra downside fuel and the stock market selling will intensify.

If the bulls push XLF above 51.10, it is only two cents away, stocks will maintain a sideways path with an upward bias.

If the bulls push XLF above 51.10, and UTIL above 1110, stocks will be gathering significant upside steam and the quant will be champing at the bit to go long. If these two turn bullish, and the SPX moves above 7395, Keybot the Quant may flip long.

Utes and the banksters will determine the stock market's fate into the holiday weekend. Check XLF in the premarket tomorrow morning to see if the fix is in, or not. Lots of traders nowadays wish they had a million dollars. If I Had a Million Dollars.

5/24/26; 7:00 PM EST =
5/22/26; 10:00 AM EST =
5/21/26; 9:00 AM EST =
5/19/26; 3:56 PM EST = +21; signal line is +42
5/19/26; 1:33 PM EST = +37; signal line is +43
5/19/26; 12:29 PM EST = +53; signal line is +44 but algorithm remains short
5/18/26; 9:41 AM EST = +37; signal line is +45
5/17/26; 7:00 PM EST = +21; signal line is +46

STOCK MARKET BEARISH -- SHORT -- CAUTION

Keybot the Quant remains short with the bears in control and the algo number 25 points below the signal line. Retail stocks collapsed last week with XRT at 79 well under the 83.32 line in the sand.

For last week, all the drama was in utes and banks. As previously mentioned, the bears need UTIL, or DJU, to drop below 1089.25, only 4 bucks away, to create a large leg lower in the stock market.

The bulls need to rally utilities and push UTIL above 1109 to get the stock market back on track. Bulls need XLF above 51.12 with price only 2 pennies below. If you see weak banks, the bulls are in big trouble.

Boiling it down to something simple, for a Simple Man, bears win with UTIL below 1089. Bulls will maintain buoyant equities if XLF rises above 51.12. If UTIL remains above 1089, and XLF below 51.12, stocks will stumble along sideways waiting for one of them to flinch.

Keybot the Quant prints two prescheduled numbers this week one on Thursday morning before the opening bell and one on Friday shortly after the opening bell. Utilities and banks are all that matter right now.

5/24/26; 7:00 PM EST =
5/22/26; 10:00 AM EST =
5/21/26; 9:00 AM EST =
5/17/26; 7:00 PM EST = +21; signal line is +46
5/15/26; 3:59 PM EST = +21; signal line is +48

STOCK MARKET BEARISH -- SHORT

Keybot the Quant remains short as the bears re-exert their dominance with a Friday selloff. It only puts a minor dent in the big bull rally over the last couple weeks. Utilities and banks failed creating the negativity in the stock market.

UTIL lost the 1109 level collapsing to 1093. Be very afraid moving forward since the utes dropping foretells major stock market trouble beginning in the days or weeks ahead (think crash). UTIL 1089.25 is the bull/bear line in the sand for the week ahead, in addition to the 1109, and price begins at 1093. Stocks will take a bigtime leg lower if the 1089 fails in the days forward. Bulls must get down on their knees and pray with all their might that utilities stage a big recovery rally in the days ahead, otherwise, stocks will begin sliding down the rabbit hole.

The banksters battled at the XLF 51.12 line in the sand the algorithm called out ahead of time. The robot does this routinely; calling out the numbers that price migrates towards. Are you impressed? You should be. There is no other model on the internet that tells you the metrics impacting stock market direction, along with the key lines in the sand before they occur, and posting it for free. Do not take it for granted since the decision can be made at anytime to not post anymore. Many followers want Keybot to become a subscription service. XLF ends the session and week at 51.10 only two pennies below the line in the sand but that is enough to create stock market negativity.

Utes and banks will tell the story ahead. If bearish, you want UTIL 1089.25 to fail so you can throw confetti as stocks fall apart. In addition, you want XLF to drop far lower and away from its land in the sand.

If bullish, you immediately want XLF to pop back above 51.12 and rally higher to signal that Friday was no biggie. In addition, you want stronger utilities and to see UTIL move back above the critical 1109.

The robot prints six numbers on Friday with the algo number 27 points below the signal line. The bears are growling and the utilities and banksters will dictate how loud the roar will be on Monday morning. Roy had the growl that all the ladies loved. Pretty Woman. Come on ladies, get out on the dance floor, show us your wares. Some folks thought Roy was partially blind because of his dark glasses; he was not. In early days, he had a gig but forgot his regular glasses and all he had was the dark glasses. He had no choice but to wear them and after the gig he was a huge hit and his career was taking off so the dark glasses became his signature look so he stuck with them.

5/17/26; 7:00 PM EST =
5/15/26; 3:59 PM EST = +21; signal line is +48
5/15/26; 3:24 PM EST = +37; signal line is +49
5/15/26; 2:51 PM EST = +21; signal line is +50
5/15/26; 12:20 PM EST = +37; signal line is +51
5/15/26; 12:10 PM EST = +21; signal line is +52
5/15/26; 9:37 AM EST = +37; signal line is +54
5/14/26; 9:36 AM EST = +53; signal line is +55
5/13/26; 12:43 PM EST = +37; signal line is +56
5/13/26; 11:01 AM EST = +21; signal line is +57
5/13/26; 10:00 AM EST = +37; signal line is +58
5/13/26; 9:51 AM EST = +53; signal line is +59
5/13/26; 9:39 AM EST = +37; signal line is +59
5/12/26; 11:08 AM EST = +53; signal line is +60
5/12/26; 9:44 AM EST = +37; signal line is +60
5/11/26; 12:28 PM EST = +53; signal line is +62

STOCK MARKET BEARISH -- SHORT -- CAUTION

Keybot the Quant remains short as the stock market continues a goofy confusing path. Retail stocks sh*t the bed yesterday collapsing -4% so it is time to buy new sheets at BBBY that crashed -7% yesterday. Retail stocks created the broad stock market negativity.

Then financials fell into the bear camp that had potential to send everything south but the bulls fought back pulling the banksters and insurance companies back into the bull camp. I Fought the Law.

Thus, therein lies the battle for market control. Retail stocks versus banks. XRT 84.05 and XLF 51.11 are the bull/bear lines in the sand. Retail stocks are causing negativity while banks are helping the stock market remain buoyant. Bulls can recover if they push XRT back above 84 but that is a formidable task with price now sporting an 81 handle. XLF is trading at 51.19 in the premarket only 8 cents away from creating havoc in the stock market.

Utilities were goosed by the market makers yesterday because they knew the ramifications if they fail. UTIL 1109 is the line in the sand with price at 1125 so watch to see if the utes will create negativity.

Also, volatility. VIX 20.13 is the line in the sand with price at 18.75 maintaining buoyant stock indexes. Bears need the VIX above 20 and that is when you will see the stock market fall apart. Bulls are okay under 20.

For now, the bears maintain control of the stock market, despite fumbling and bumbling with the ball the last few days, with the algo number 9 points below the signal line. Retail stocks, banks, utes and volatility are the four drivers of the stock market direction currently.

King Donnie Trumpski's Iran War messaging will continue impacting markets. WTIC crude oil moves above one hundo, check that, now above 101, creating a soggy mood for stocks today. The Soggy Bottom Boys sing I Am a Man of Constant Sorrow.

5/17/26; 7:00 PM EST =
5/11/26; 12:28 PM EST = +53; signal line is +62
5/11/26; 12:10 PM EST = +37; signal line is +62
5/11/26; 9:37 AM EST = +53; signal line is +63
5/10/26; 7:00 PM EST = +69; signal line is +63 but algorithm remains short