STOCK MARKET BEARISH -- SHORT -- CAUTION

Keybot the Quant is short as of this morning. Copper, JJC, failed the 48.83 level ushering in market selling.  Interestingly, in the final minutes before the close, Keybot dropped the level of interest to 48.82 and the final closing print is smack dab on top of 48.82.  How does Keybot know these numbers ahead of time? This is high drama for Thursday since the broad markets will move the same way as copper.  Above JJC 48.82 and the bulls will enjoy market buoyancy, below and the bears will continue the selling.

CRB failed today closing at 311.47 under the 312.10 level of interest favoring bears.  Thus, the bears are in good shape but definitely need JJC to drop at the open to continue the downside, therefore bears want to see a stronger dollar and bulls want to see a weaker dollar so JJC and CRB will climb again.  Watch UTIL 446.15 this week which would signal market trouble and also UTIL needs to be above 463 by the Friday close or the broad indexes will be in trouble come Monday.

For the SPX starting at 1405.54, the bulls need eight points to move above 1413.50 to accelerate further upside.  The market bears need to push the SPX under 1397, about eight points lower, and the broad index selling will accelerate. A move thru 1398-1404 is sideways action. Markets remain highly unstable. Stay on guard for a whipsaw move.

4/1/12; 7:00 PM EST EOM EOQ1 =

3/30/12; 10:00 AM EST =

3/28/12; 12:17 PM EST = +46; signal line is +66

3/28/12; 10:33 AM EST = +60; signal line is +67; go short 1409; (Benchmark SPX for 2012  = +12.0%)(Keybot this trade = -0.2%; Keybot for 2012 = +3.6%)(Actual this trade = -0.3%; Actual for 2012 = +5.2%)