STOCK MARKET BEARISH -- SHORT -- CAUTION

Keybot the Quant remains short. The broad markets are exhibiting indecisive, odd behavior, some of the strangest behavior the algorithm has ever seen.  Six continuous numbers where the algorithm is set up to go long but keeps getting held back by other algorithmic rules. Very interesting indeed and requires close monitoring.

Retail and volatilty both went the bears way today, hence the late day sell off.

For the SPX tomorrow, the market bulls have to reach up to touch 1298-1299, otherwise they got nothing.  The market bears, however, have an easy path ahead if they decide to push.  The bears only need to drop the SPX 33 measely pennies tomorrow, under 1286.79, if they can, the indexes will accelerate the selling and you will see some support levels hit, 1286, 1282, 1279.  Therefore, any hint of red futures, even only a few pennies, will be very bearish in the morning. Seasonality says this week is down 18 of the last 20 times.  Also, a healthy selloff on Wednesday is usually met with further weakness Thursday morning.  Watch out for possible index buoyancy prior to lunch time tomorrow.

7/10/11; 7:00 PM EST =

7/8/11; 10:00 AM EST =

7/3/11; 7:00 PM EST =

6/30/11; 7:00 PM EST EOM =

6/28/11; 10:00 AM EST =

6/26/11; 7:00 PM EST =

6/22/11; 2:41 PM EST = -28; signal line is -30 but algorithm says stay short

6/22/11; 1:30 PM EST = -14; signal line is -30 but algorithm says stay short

6/22/11; 1:08 PM EST = -28; signal line is -30 but algorithm says stay short

6/22/11; 12:52 PM EST = -14; signal line is -30 but algorithm says stay short

6/22/11; 12:01 PM EST = -28; signal line is -29 but algorithm says stay short

6/22/11; 11:03 AM EST = -14; signal line is -28 but algorithm says stay short

6/22/11; 9:30 AM EST = -28

6/21/11; 2:44 PM EST = -12; signal line is -28 but algorithm says stay short

6/21/11; 9:30 AM EST = -28; signal line is -28

6/19/11; 7:00 PM EST = -42; signal line is -28

6/17/11; 12:17 AM EST = -42

6/17/11; 11:12 AM EST = -28; signal line is -27

6/17/11; 11:02 AM EST = -42

6/17/11; 10:47 AM EST = -28; signal line is -26

6/17/11; 10:23 AM EST = -42

6/17/11; 10:00 AM EST = -28; signal line is -25

6/17/11; 9:32 AM EST = -28

6/16/11; 9:00 AM EST = -42

6/15/11; 11:38 AM EST = -42

6/15/11; 11:31 AM EST = -28

6/15/11; 11:20 AM EST = -12; signal line is -23 but algorithm says stay short

6/14/11; 9:30 AM EST = -28; signal line is -24

6/13/11; 3:35 PM EST = -42

6/13/11; 1:59 PM EST = -28; signal line is -23

6/13/11; 11:51 AM EST = -42

6/12/11; 7:00 PM EST = -28

6/10/11; 1:54 PM EST = -28; signal line is -21

6/10/11; 1:45 PM EST = -42

6/10/11; 10:06 AM EST = -28; signal line is -18; go short 1277; (Benchmark SPX for 2011=+1.5%)(Keybot this trade=-1.0%; Keybot for 2011=+5.4%)(Actual this trade via DIA=-1.1%; Actual for 2011=-0.1%)