STOCK MARKET BULLISH -- LONG -- CAUTION

Keybot the Quant is long to begin the new week of trading. The markets are at the mercy of Euro news and the Spain bailout will play a key role in Monday's trade.  The SPX begins trading at 1326, a very strong S/R area. Since the SPX closed at the highs on Friday, all that is needed for the bulls is to see a tiny smidge of green in the overnight futures and an upside market acceleration will occur.  SPX 1326 will lead to 1331 and 1333 resistance, then 1337 R, then the 1350's if the bulls are running. The market bears will try to stop the upside momo and that would begin by keeping the futures red. A move thru SPX 1308-1325 is sideways action.

In addition, watch RTH 41, now at 41.68, which creates market bullishness. Watch UTIL 453.75, now at 478.48, which also creates market bullishness. If the markets jump higher on happy Spain bailout news, watch the NYA 40-week MA at 7645. The NYA closed at 7554 about 90 points below. If the NYA takes out 7645 to the upside it is a game-changer, the bears will be in for serious pain since the SPX will be running towards the 1350's.

6/17/12; 7:00 PM EST =

6/15/12; 10:00 AM EST =

6/10/12; 7:00 PM EST = -14 signal line -23

6/6/12; 11:02 AM EST = -14; signal line is -23; go long 1305; (Benchmark SPX for 2012  = +3.7%)(Keybot this trade = +5.6%; Keybot for 2012 = +7.2%)(Actual this trade = +5.4%; Actual for 2012 = +7.4%)