STOCK MARKET BULLISH -- LONG -- CAUTION

Keybot the Quant is long moving into the new week of trading. Note that the algo number is now only two points from the signal line. The bulls need to move commodities, GTX, above 4930 to move the SPX up to and through the all-time closing high at 1576. The bears need to move the VIX above 14.65 to initiate strong selling in the markets. Keybot will likely flip short if the VIX moves above 14.65.  If GTX stays below 4930 and VIX stays under 14.65, the markets will float sideways with a slight upward bias.

For the SPX, at a new all-time closing high at 1569, the bulls only need one single point, to push through 1570, and the test of 1576 is on tap. Therefore, the Sunday overnight S&P futures are key, watch to see if a one point gain is on tap, or not. Interestingly  China PMI hits overnight so that will likely dictate the outcome for the SPX come Monday morning. The bears need to push under 1561 to accelerate the downside. A move through 1562-1569 is sideways action. Keybot prints one pre-sheduled number this week on Friday morning. VIX 14.65 dictates market direction. The broad indexes remain highly unstable and erratic.

4/7/13; 7:00 PM EST =

4/5/13; 9:00 AM EST =

3/31/13; 7:00 PM EST EOM = +49; signal line is +47

3/29/13; 10:00 AM EST = +49; signal line is +46

STOCK MARKET BULLISH - -LONG -- CAUTION

Keybot the Quant remains long through the Easter weekend. The pre-scheduled number yesterday results in another up tick in the signal line, now only three points from the algo  number. The significant weakness in copper and commodities is not dragging equity markets lower as would be expected showing the power of the Fed's easy money. The SPX closes at a new all-time closing high at 1569.19 and now sets its sights on the all-time high at 1576.09 from October 2007. Volatility  VIX, and commodities, GTX, are key for next week. The areas and levels of interest can be identified once the Sunday pre-scheduled number prints. Happy Easter.

3/31/13; 7:00 PM EST EOM =

3/29/13; 10:00 AM EST = +49; signal line is +46

3/28/13; 12:00 PM EST = +49; signal line is +45

STOCK MARKET BULLISH -- LONG -- CAUTION

Keybot the Quant remains long and the algo is active today. Note that GTX fell out of bed a few minutes ago so this may create broad market weakness. VIX is 12.83 continuing to provide bull fuel.  The bulls continue to drive the bus but the caution flag remains out.  The algo number and signal line are now only four points difference. Markets remain unstable and erratic.

3/29/13; 10:00 AM EST =

3/28/13; 12:00 PM EST = +49; signal line is +45

3/28/13; 10:19 AM EST = +63; signal line is +44

STOCK MARKET BULLISH -- LONG -- CAUTION

Keybot the Quant remains long. GTX, commodities, were weak at the open but recovered providing the push, along with lower volatility, for the SPX to print above 1564, then 1565. The SPX is now at 1567 moving higher. The bulls are in charge day after day. GTX sits directly on top of 4931 so the move up or down off this level should push the broad indexes in the same direction.

3/29/13; 10:00 AM EST =

3/28/13; 10:19 AM EST = +63; signal line is +44

3/28/13; 9:30 AM EST = +49; signal line is +43

3/27/13; 1:22 PM EST = +63; signal line is +42

STOCK MARKET BULLISH -- LONG -- CAUTION

Keybot the Quant remains bullish ahead of the last day of trading for the week, month and quarter. The bulls are cruising.  Commodities are recovering creating bull energy yesterday. Watch GTX 4931. Markets will remain buoyant and float higher with GTX above 4931 (now at 4936); markets will sell off if GTX drops back under 4931.  The algo continues to track volatility with interest. Watch VIX 14.65, now at 13.15.  Bulls remain in control under VIX 14.65 but bears will growl strongly if the VIX moves above 14.65.

For the SPX starting at 1563, the bulls only need one single point, to punch through 1564 and that will take out the all-time high at 1565 in quick order and send the SPX towards 1570. The bears need to push under 1552 to accelerate the downside.  A move through 1553-1563 is sideways action.

3/29/13; 10:00 AM EST =

3/27/13; 1:22 PM EST = +63; signal line is +42

3/26/13; 10:00 AM EST = +49; signal line is +41

STOCK MARKET BULLISH -- LONG -- CAUTION

Keybot the Quant remains long moving into the Wednesday session. The bulls are relentless to the upside ticking off highs day after day. The SPX could not, however, punch through the 1565 level. For Wednesday with the SPX starting at 1564, the bulls need only to see positive futures overnight, even by only a smidge, and an upside acceleration will occur through the all-time closing high at 1565.15 and the SPX will be on its way to the 1570's. Therefore, watch the overnight futures since any positive numbers will signal a strongly bullish day ahead. The bears must keep the futures red overnight and at the opening bell push the SPX under 1552 to accelerate the downside. A move thorough 1553-1563 is sideways action.

Volatility remains important and the bulls are cruising at VIX 12.77 well under the bull-bear danger level at 14.70. Commodities may provide further bull fuel in the days ahead if GTX moves above 4929 only 17 points away. Everything goes the bulls way day after day. Markets remain unstable and erratic.

3/29/13; 10:00 AM EST =

3/26/13; 10:00 AM EST = +49; signal line is +41

3/24/13; 7:00 PM EST = +49; signal line is +40

STOCK MARKET BULLISH -- LONG -- CAUTION

Keybot the Quant remains bullish as the pre-scheduled number results in a one tick up move in the signal line. VIX remains low and SOX remains high so the bulls are content. The SPX is higher with the bulls trying to push towards 1565.

3/29/13; 10:00 AM EST =

3/26/13; 10:00 AM EST = +49; signal line is +41

3/24/13; 7:00 PM EST = +49; signal line is +40

STOCK MARKET BULLISH -- LONG -- CAUTION

Keybot the Quant remains long. The SPX came within pennies of touching the all-time closing high at 1565.15, but failed. The utilities, UTIL, hit 500, a remarkable run off the 435 November low. The VIX ran higher towards 14.70 (the bull-bear line in the sand) but could not move above, so the bears did not have enough energy and the broad indexes recovered.  For Tuesday, watch VIX 14.70, now contributing bullishly to markets at 13.74. Watch SOX 422.00, now contributing bullishly to markets at 429.17. Bulls are not worried unless either VIX 14.70 or SOX 422 fails.

For the SPX starting at 1552, the bulls need to touch 1465 to accelerate the upside and bears need to drop under 1547 to accelerate the downside. A move through 1548-1564 is sideways action today.  Keybot prints a pre-scheduled number this morning so the action can be updated at that time.

3/29/13; 10:00 AM EST =

3/26/13; 10:00 AM EST =

3/24/13; 7:00 PM EST = +49; signal line is +40

STOCK MARKET BULLISH -- LONG -- CAUTION

Keybot the Quant is bullish as the new week of trading begins. Market direction will be determined by the Cyprus resolution, or lack thereof.  The algo continues to treat volatility as the main market driver. Very simply, the broad indexes will float higher if the VIX stays under 14.95.  If the VIX moves above 14.95, the bears will growl. Semiconductors are gaining importance; watch SOX 421 since failure of this level will usher in significant market selling. If the bulls keep SOX above 421, there is no worries.

For the SPX starting at 1557, interestingly exactly where Keybot whipsawed the other day, the bulls only need one single point, to touch 1558 and it is off to the races higher with the 1565 all-time closing high easily in sight. The bears must push the SPX under 1446 to accelerate the downside. A move through 1447-1557 is sideways action. Markets remain highly erratic and unstable. VIX 14.95 dictates market direction. Keybot prints two pre-scheduled numbers this week, one on Tuesday and one on Friday. U.S. markets are closed on Friday in Observance of Good Friday.

3/31/13; 7:00 PM EST EOM =

3/29/13; 10:00 AM EST =

3/26/13; 10:00 AM EST =

3/24/13; 7:00 PM EST = +49; signal line is +40

STOCK MARKET BULLISH -- LONG-- CAUTION

Keybot the Quant remains long through the weekend. Volatility remains the key; the market bears need VIX 14.95 to begin any serious selling. This level and others can be identified tomorrow once the regular Sunday numbers print. Interestingly, Keybot whipsawed this week going short but then returning to the bull camp, then markets sold off again on Thursday but note that the VIX did not move above 14.95 like it did earlier in the week. That told you that the broad indexes would recover since volatility was not on the bandwagon (above 14.95), and, sure enough, the broad indexes recovered on Friday. The bulls are driving the bus.

3/24/13; 7:00 PM EST =

3/20/13; 11:15 AM EST = +49; signal line is +39; go long 1557; (Benchmark SPX for 2013  = +9.2%)(Keybot this trade = -1.1%; Keybot for 2013 = +1.2%)(Actual this trade = -0.8%; Actual for 2013 = +1.0%)

STOCK MARKET BULLISH -- LONG -- CAUTION

Keybot the Quant remains long. The algo did not print any numbers today. The broad indexes sold off in another whipsaw move, this time to the downside, however, the VIX did not move above 14.95 so the bulls are not worried.  For Friday, watch VIX 14.95 since it will tell you the story independent of the broad market movement. Bulls win below VIX 14.95; bears win above. If the VIX moves above 14.95, Keybot will likely flip short. The quant is also tracking semiconductors with more interest. Watch SOX 421.00.  The broad indexes will sell off in force if SOX 421 fails.

For the SPX starting at 1546, the bears have the easy road, only needing two points lower, to fall through 1544 and a downside acceleration will occur into the 1530's.  Bulls need to retrace today's down move and touch the 1559 handle to create an upside acceleration to the 1565 all-time closing high in quick order.  A move through 1545-1557 is sideways action. Stay alert and cautious. Markets are very erratic.

3/24/13; 7:00 PM EST =

3/20/13; 11:15 AM EST = +49; signal line is +39; go long 1557; (Benchmark SPX for 2013  = +9.2%)(Keybot this trade = -1.1%; Keybot for 2013 = +1.2%)(Actual this trade = -0.8%; Actual for 2013 = +1.0%)

STOCK MARKET BULLISH -- LONG -- CAUTION

Keybot the Quant remains long after the whipsaw move today. Volatility is the king of the markets right now. The VIX closed at 12.67.  Keybot is watching 14.90 as the bull-bear line in the sand. The bulls will take the markets higher with the VIX under 14.90. The bears will growl again when the VIX moves above 14.90. It would not be surprising if the markets reverse again tomorrow for another whipsaw. The VIX will dictate the action.

For the SPX starting at 1559, the bulls need to touch the 1562 handle and the all-time closing high at 1565 will give way in quick order. The SPX will then move towards the all-time high at 1576.  The bears need to push below 1549 to accelerate the downside. A move through 1550-1560 is sideways action. Markets remain unstable and erratic and are not to be trusted. Stay alert and cautious.

3/24/13; 7:00 PM EST =

3/20/13; 11:15 AM EST = +49; signal line is +39; go long 1557; (Benchmark SPX for 2013  = +9.2%)(Keybot this trade = -1.1%; Keybot for 2013 = +1.2%)(Actual this trade = -0.8%; Actual for 2013 = +1.0%)

STOCK MARKET BULLISH -- LONG -- CAUTION

Keybot flips back to the long side today at SPX 1557 for a whipsaw move. One step forward and one step backward. Do not be surprised for a whipsaw back to the short side today or tomorrow. Keybot took a one percent loss exiting DOG and entering DIA. The drop in volatility is giving the bulls the upper hand. The market bears need to see the VIX move back above 14.95, now at 12.33. Until then, the bulls have the upper hand. The whipsaw behavior this year can be frustrating but that is the nature of the markets. The broad indexes remain erratic and unstable.

3/24/13; 7:00 PM EST =

3/20/13; 11:15 AM EST = +49; signal line is +39; go long 1557; (Benchmark SPX for 2013  = +9.2%)(Keybot this trade = -1.1%; Keybot for 2013 = +1.2%)(Actual this trade = -0.8%; Actual for 2013 = +1.0%)

3/19/13; 2:06 PM EST = +49; signal line is +39 but algorithm says stay short

3/19/13; 1:23 PM EST = +33; signal line is +39; go short 1540; (Benchmark SPX for 2013  = +8.0%)(Keybot this trade = +1.3%; Keybot for 2013 = +2.3%)(Actual this trade = +2.1%; Actual for 2013 = +1.8%)

STOCK MARKET BEARISH -- SHORT -- CAUTION

Keybot the Quant is bearish overnight into the Wednesday session tomorrow. The broad indexes are a circus this afternoon with the Cyprus debacle pulling markets to and fro. Keybot is short but the algo already wants to whipsaw back to the long side. There are internal programming routines that have to click into place before any move back to the bull side would be triggered.  Volatility remains the key. VIX 14.95 is the bull-bear line in the sand. Bulls need to keep VIX under 14.95 and bears need to push the VIX above 14.95. The SPX moved through a 20-handle range today. With volatility rising, the intraday, and day to day, point moves will become more wide and wild. SOX 421 is also important moving forward.

For the SPX, starting Wednesday at 1548, the bulls need to push above 1557 to create an upside acceleration. The bears need to push under 1539 to accelerate the downside. A move through 1540-1556 is sideways action. As a general rule of thumb, if the SPX moves above 1557 tomorrow, with the VIX remaining under 14.95, Keybot will likely whipsaw back to the long side. Markets are extremely unstable and erratic.

3/24/13; 7:00 PM EST =

3/19/13; 2:06 PM EST = +49; signal line is +39 but algorithm says stay short

3/19/13; 1:23 PM EST = +33; signal line is +39; go short 1540; (Benchmark SPX for 2013  = +8.0%)(Keybot this trade = +1.3%; Keybot for 2013 = +2.3%)(Actual this trade = +2.1%; Actual for 2013 = +1.8%)

SPX Daily Chart Showing Keybot the Quant Algorithm Turns

Current signal remains valid until a change occurs.
3/19/13:  Keybot the Quant flipped to the short side at 1:23 PM EST at SPX 1540.  For the year thus far, SPX Benchmark Index is up 8.0%; Keybot is up 2.3%; Keybot actual trading is up 1.8%. Stay alert for a potential whipsaw on 3/20/13.
3/4/13:  Keybot the Quant flipped to the long side at 2:25 PM EST at SPX 1520.  For the year thus far, SPX Benchmark is up 6.6%; Keybot is up 1.0%; Keybot actual trading is down 0.3%.
2/25/13:  Keybot the Quant flipped to the short side at 3:20 PM EST at SPX 1502.  For the year thus far, SPX Benchmark is up 5.3%; Keybot is up 2.2%; Keybot actual trading is up 1.0%.
2/25/13:  Keybot the Quant flipped to the long side at 9:30 AM EST at SPX 1522.  For the year thus far, SPX Benchmark is up 6.7%; Keybot is up 3.5%; Keybot actual trading is up 2.5%.
2/21/13:  Keybot the Quant flipped to the short side at 2:08 PM EST at SPX 1498.  For the year thus far, SPX Benchmark is up 5.1%; Keybot is up 5.1%; Keybot actual trading is up 5.8%.
12/31/12:  Keybot the Quant flipped to the long side at 2:51 PM EST at SPX 1419 and the year ended only a few hours later resulting in the following closing numbers for 2012; SPX Benchmark was up 13.4% closing at 1426; Keybot was up 22.3%; Keybot actual trading was up 20.0%.
12/20/12:  Keybot the Quant flipped to the short side at 9:44 AM EST at SPX 1435.  For the year thus far, SPX Benchmark is up 14.1%; Keybot is up 20.8%; Keybot actual trading is up 18.1%.
12/11/12:  Keybot the Quant flipped to the long side at 9:35 AM EST at SPX 1426.  For the year thus far, SPX Benchmark is up 13.4%; Keybot is up 20.2%; Keybot actual trading is up 18.0%.

Note the nasty action late February with a double whipsaw move.  Then Keybot was short but the markets drifted higher to finish February.  Then Keybot was long to begin March. This behavior is testimony to the erratic and unstable condition of the broad indexes currently.

STOCK MARKET BEARISH -- SHORT -- CAUTION

Keybot the Quant filps to the short side at SPX 1540 as the volatility rises. The VIX is now printing 15.33 well above the 14.95 bull-bear line in the sand and causing negativity. SOX is at 423 which would add a lot of bear fuel if 421 fails, now only two points away. Keybot exited DIA and entered DOG. The last trade results in a one percent gain for the algorithm program and a two percent gain for the trade. Watch VIX 14.95. As always, stay alert for a potential whispaw.

3/24/13; 7:00 PM EST =

3/19/13; 1:23 PM EST = +33; signal line is +39; go short 1540; (Benchmark SPX for 2013  = +8.0%)(Keybot this trade = +1.3%; Keybot for 2013 = +2.3%)(Actual this trade = +2.1%; Actual for 2013 = +1.8%)

3/19/13; 1:17 PM EST = +33; signal line is +40 but algorithm says stay long

3/19/13; 9:00 AM EST = +49; signal line is +41

3/17/13; 7:00 PM EST = +49; signal line is +42

3/15/13; 10:00 AM EST = +49; signal line is +42

3/10/13; 7:00 PM EST = +49; signal line is +42

3/8/13; 9:00 AM EST = +49; signal line is +42

3/4/13; 2:25 PM EST = +49; signal line is +43; go long 1520; (Benchmark SPX for 2013  = +6.6%)(Keybot this trade = -1.2%; Keybot for 2013 = +1.0%)(Actual this trade = -1.3%; Actual for 2013 = -0.3%)

STOCK MARKET BULLISH -- LONG -- CAUTION

Keybot the Quant is long moving into the Tuesday session. The pre-scheduled number results in the signal line dropping one tick, which increases the spread as compared to the algo number, and provides the bulls a single hair advantage. Watch VIX 15.95, SOX 421, SPX 1561 and 1545.

3/24/13; 7:00 PM EST =

3/19/13; 9:00 AM EST = +49; signal line is +41

3/17/13; 7:00 PM EST = +49; signal line is +42

STOCK MARKET BULLISH -- LONG -- CAUTION

Keybot the Quant remains long and the algorithm did not print any numbers yesterday. A pre-scheduled number prints in a few hours. Volatility remains key. If the VIX moves above 14.95, now at 13.36, Keybot will likely flip short. The quant is also tracking semi's; watch SOX 421, now at 428, since Keybot will likely flip short if 421 occurs. Both the VIX and SOX continue to create market positivity unless one of the above numbers are attained.

For the SPX starting at 1552, the bulls need to touch the 1561 handle and an upside acceleration to the all-time closing high at 1565 will occur in quick order. The bears need to push under 1545 to accelerate the downside into the 1530's in quick order. A move through 1546-1559 is sideways action. Markets remain unstable and erratic.

3/24/13; 7:00 PM EST =

3/19/13; 9:00 AM EST =

3/17/13; 7:00 PM EST = +49; signal line is +42

STOCK MARKET BULLISH -- LONG -- CAUTION

Keybot the Quant is long going into the new week of trading. The algo is flat-lining for the last few days, neither bulls or bears pushing hard either way, so the broad indexes float along sideways with an upward bias. VIX 15.15 is key, now at 11.30 creating market bullishness. GTX 4930 is key, now at 4896 creating market negativity. Semiconductors are creating market bullishness with the SOX at 434 well above the bull-bear line at 421 but the action in semi's may prove interesting this week.

For the SPX starting the week at 1561, printing highs day after day, the bulls need to touch the 1564 handle and it is off to the races, the all-time closing high at 1565 would immediately crumble, and the trek to the all-time high at 1576 would be underway. The bears need to push under 1556 to accelerate the downside to 1553 and 1548 support levels. A move through 1557-1560 is sideways action. Keybot prints one pre-scheduled number this week on Tuesday morning. The markets remain highly erratic, unstable and are not to be trusted. Expect the unexpected this week. For now, the bulls are cruising.

3/24/13; 7:00 PM EST =

3/19/13; 9:00 AM EST =

3/17/13; 7:00 PM EST = +49; signal line is +42

3/15/13; 10:00 AM EST = +49; signal line is +42

Note Added 3/18/13 at 9:47 AM:  The new trading week is off and stumbling.  VIX is the key and Keybot has lowered the bull-bear line to 14.95 now. VIX is currently printing 13.27 so the market bulls are maintaining control. The bears will growl strongly and Keybot will likely flip short if the VIX moves above 14.95. SOX prints a LOD at 426.30 thus far today, only five points from the bull-bear danger line at 421 that would also likely cause Keybot to flip short.

STOCK MARKET BULLISH -- LONG -- CAUTION

Keybot the Quant remains long through the weekend. The market bears tested the SPX 1555-1556 support but it held resulting in a flat day overall. The quant did not print any numbers the whole week long except for the pre-scheduled number. The markets move sideways with an upward bias. Next week volatility will remain important.  Also commodities, copper and semiconductors (SOX fell 1.7% yesterday). The levels of interest can be identified for next week once the pre-scheduled Sunday print occurs tomorrow.

3/17/13; 7:00 PM EST =

3/15/13; 10:00 AM EST = +49; signal line is +42

STOCK MARKET BULLISH -- LONG -- CAUTION

Keybot the Quant remains long as the Friday session is underway. The algo prints the pre-scheduled number resulting in no change. The quant has not printed any numbers this week except for the pre-scheduled print minutes ago. Markets have moved sideways with an upward bias; today there is some leakage lower.  The bears need to push the SPX under 1555 to accelerate the downside targeting support at 1548.  The SPX is now printing 1556. GTX is at 4900.  VIX is at 12 so the buoyancy in volatility today is creating market weakness. The beat goes on with the bulls in control. The bears need the VIX above 15 before they can do any real damage.

3/17/13; 7:00 PM EST =

3/15/13; 10:00 AM EST = +49; signal line is +42

3/10/13; 7:00 PM EST = +49; signal line is +42

STOCK MARKET BULLISH -- LONG -- CAUTION

Keybot the Quant remains long. The bulls are cruising with their foot on volatility's neck; the VIX is under 12. The market bears need to push the VIX above 15. The VIX is expected to jump higher at anytime so the move to 15 can happen quickly.  However, the broad indexes will continue to float higher with the VIX under 15.  The bulls can gain additional fuel by pushing commodities, GTX, above 4930, now at 4880. All sectors are bullish except for materials sectors such as copper and commodities that remain bear-friendly.

For the SPX starting Friday at 1563, another new multi-year high and high for 2013, the bulls only need a smidge of green in the futures and its off to the races above with the SPX punching up through the all-time closing high at 1565 in quick order. The all-time high at 1576 would be targeted next. The bears need to push under 1555 today to accelerate a downside move to test 1548. A move through 1556-1562 is sideways action. Keybot prints a pre-scheduled number this morning so the action can be updated at that time.

3/17/13; 7:00 PM EST =

3/15/13; 10:00 AM EST =

3/10/13; 7:00 PM EST = +49; signal line is +42

STOCK MARKET BULLISH -- LONG -- CAUTION

Kebot the Quant remains long as the algo simply idles along all week thus far without printing any numbers. Oil, copper and commodities remain weak but do not pull the broad markets lower due to the central banker liquidity pumping. So markets remain in a sideways mode with an upward bias. The bears need VIX 15.20, otherwise, the markets will continue floating higher. For the SPX starting the Thursday session at 1555, the bulls need to touch the 1557 handle which will launch a move into the 1560's. The bears must push under the strong 1548 support to begin a downside run. A move through 1549-1556 is sideways action. The bulls are cruising. Markets remain highly unstable and erratic.

3/15/13; 10:00 AM EST =

3/10/13; 7:00 PM EST = +49; signal line is +42

STOCK MARKET BULLISH -- LONG -- CAUTION

Keybot the Quant remains long. The algo did not print any numbers today. A standoff exists. The bulls need to push GTX up through 4930 to provide upside fuel and new all-time highs for the SPX.  The bears need to push VIX above 15.20 to increase the market selling and begin the much-awaited market correction. If GTX stays under 4930 and VIX under 15.20, the broad indexes float sideways with a slight upward bias.

For the SPX for Wednesday, starting at 1552, the bulls need to touch the 1557 handle and it will be blue skies above with the SPX on its way to the 1560's. The bears need to push under the critical and strong 1548 support, if so, that will accelerate the downside to the low 1540's.  A move through 1549-1551 is sideways action. The bulls are driving the bus. GTX and VIX will indicate the preference for market direction.

3/15/13; 10:00 AM EST =

3/10/13; 7:00 PM EST = +49; signal line is +42

STOCK MARKET BULLISH -- LONG -- CAUTION

Keybot the Quant remains long moving into the Tuesday session.  The algo is idling along without printing any numbers yesterday.  The quant is tracking VIX 15.20 and GTX 4930. The bulls will gain more upside fuel with GTX 4930; the bears will gain fuel with the VIX above 15.20. If the VIX stays under 15.20, and the GTX stays under 4930, the markets will continue along sideways with an upward bias.

For the SPX on Tuesday beginning at 1556, the bulls have an easy road today, only needing to see a smidge of green in the futures and that will create a move up through the strong 1556 resistance and onward to test the all-time closing high at 1565. The bears must keep the futures negative into the U.S. opening bell and then push the SPX under 1548 to accelerate the downside.  A move through 1549-1555 is sideways action today. The beat goes on, the bulls are cruising.

3/17/13; 7:00 PM EST = 
3/15/13; 10:00 AM EST = 
3/10/13; 7:00 PM EST = +49; signal line is +42
3/8/13; 9:00 AM EST = +49; signal line is +42

STOCK MARKET BULLISH -- LONG -- CAUTION

Keybot the Quant is long moving into the Monday session. Over the last month, the thrust higher for the dollar and corresponding sell off in commodities and copper has surprisingly not sent the SPX lower. In fact, the broad indexes are making new highs. The Fed's monetary easing is overriding typical market relationships and pumping the equity markets higher. Commodities are key this week and if the $GTX moves above 4915, the SPX is likely on its way to 1580. The quant is also tracking volatility with a VIX 15.45 bull-bear line in the sand. VIX is at 12.59 well below which provides bull fuel. Thus, GTX at 4915 will send the broad indexes higher while VIX 15.45 will send the broad indexes lower. If GTX stays under 4915 and if VIX stays under 15.45, the broad indexes float along sideways with an upward bias.

For the SPX starting at 1551, the bulls need to touch the 1553 handle, only a point or so higher, and new all-time highs for the SPX are on the way. The bears must prevent 1553 with all their might and push the SPX under 1543 to accelerate the downside. A move through 1544-1552 is sideways action. Keybot prints only one pre-scheduled number this week on Friday morning. The bulls are cruising.

3/17/13; 7:00 PM EST =

3/15/13; 10:00 AM EST =

3/10/13; 7:00 PM EST = +49; signal line is +42

3/8/13; 9:00 AM EST = +49; signal line is +42

STOCK MARKET BULLISH -- LONG -- CAUTION

Keybot the Quant remains long through the weekend. The bulls keep running. Lower volatility continues to push the equities markets higher; the VIX is now under 13. For next week, volatility and commodities are the main items affecting broad index direction.  The levels can be highlighted tomorrow after the Sunday pre-scheduled print occurs.

3/10/13; 7:00 PM EST =

3/8/13; 9:00 AM EST = +49; signal line is +42

STOCK MARKET BULLISH -- LONG -- CAUTION

Keybot the Quant is long going into the Friday session. The pre-scheduled number results in a one-tick lower move in the signal line. The bulls are cruising. Watch VIX 15.50. The futures point to the upside acceleration for SPX at the bell to 1548 and 1553 resistance.

3/10/13; 7:00 PM EST =

3/8/13; 9:00 AM EST = +49; signal line is +42

3/4/13; 2:25 PM EST = +49; signal line is +43; go long 1520; (Benchmark SPX for 2013  = +6.6%)(Keybot this trade = -1.2%; Keybot for 2013 = +1.0%)(Actual this trade = -1.3%; Actual for 2013 = -0.3%)

STOCK MARKET BULLISH -- LONG -- CAUTION

Keybot the Quant remains long. The algo does not print any numbers today, now three days in a row without printing any numbers. The bulls are cruising. A pre-scheduled number prints tomorrow morning. Watch VIX 15.50 as an important bull-bear line in the sand.  For the SPX starting at 1544, the bulls need to touch 1546 to accelerate the upside, bears need to push under 1542 to accelerate the downside.

3/10/13; 7:00 PM EST =

3/8/13; 9:00 AM EST =

3/4/13; 2:25 PM EST = +49; signal line is +43; go long 1520; (Benchmark SPX for 2013  = +6.6%)(Keybot this trade = -1.2%; Keybot for 2013 = +1.0%)(Actual this trade = -1.3%; Actual for 2013 = -0.3%)

STOCK MARKET BULLISH -- LONG -- CAUTION

Keybot the Quant remains bullish and motors along this week without printing any numbers over the last couple days. Volatility, VIX 15.50, remains key. As long as the VIX stays under 15.50, the bulls rule. If the VIX moves above 15.50, the bears will growl with a vengeance. For the SPX today starting at a new 2013 high at 1541.46, the bulls need to move above 1545, about three points higher, and an upside acceleration to 1548 will occur in a heartbeat, then perhaps the move to 1553. The bears need to push under 1538, only about three points lower, and the downside will accelerate. If this occurs, VIX 15.50 will tell you how strong the bears are, or not. A move through 1539-1544 is sideways action. The S&P futures are up +1.4 as this missive is typed about five hours before the U.S. open.

3/10/13; 7:00 PM EST =

3/8/13; 9:00 AM EST =

3/4/13; 2:25 PM EST = +49; signal line is +43; go long 1520; (Benchmark SPX for 2013  = +6.6%)(Keybot this trade = -1.2%; Keybot for 2013 = +1.0%)(Actual this trade = -1.3%; Actual for 2013 = -0.3%)

STOCK MARKET BULLISH -- LONG -- CAUTION

Keybot the Quant remains long. The algo idled along today without fanfare. The Dow Industrials printed new all-time highs today, a notable achievement. Volatility dropped under 14 and the bears do not have a chance unless they see VIX 15.55. For the SPX starting at 1540 on Wednesday, the bulls need to touch 1544 and the upside rally will continue with a move to test the strong resistance at 1548 occurring quickly. The bears need to retrace today's move, and push lower to 1525 to accelerate the downside, fifteen points, a formidable task but not impossible.  A move through 1526-1543 is sideways action. The bulls are cruising but if the bears can create VIX 15.55, things would change quickly.

3/10/13; 7:00 PM EST =

3/8/13; 9:00 AM EST =

3/4/13; 2:25 PM EST = +49; signal line is +43; go long 1520; (Benchmark SPX for 2013  = +6.6%)(Keybot this trade = -1.2%; Keybot for 2013 = +1.0%)(Actual this trade = -1.3%; Actual for 2013 = -0.3%)

STOCK MARKET BULLISH -- LONG -- CAUTION

Keybot the Quant is on the long side now. The commodities, oil, copper and materials sectors are in the bear camp but the equities markets in general continue higher. The bulls will try to push copper and commodities higher to gain more upside fuel.  The bears will try to push the VIX above 15.55. The bears got nothing without VIX 15.55. For Tuesday for the SPX starting at 1525, closing at the highs, the bulls only need to see a smidge of green in the futures and the upside will accelerate at the opening bell to test 1531 resistance in quick order. The bears will try to reverse today's move and push under 1518 which will accelerate the downside to target 1511. A move through 1519-1524 is sideways action.  The bulls are driving the bus. Pay attention to volatility.

3/10/13; 7:00 PM EST =

3/8/13; 9:00 AM EST =

3/4/13; 2:25 PM EST = +49; signal line is +43; go long 1520; (Benchmark SPX for 2013  = +6.6%)(Keybot this trade = -1.2%; Keybot for 2013 = +1.0%)(Actual this trade = -1.3%; Actual for 2013 = -0.3%)

STOCK MARKET BULLISH -- LONG -- CAUTION

Keybot the Quant flips to the bull side at 2:25 PM at SPX 1520.  The last trade results in about a one-percent loss. The actual trading return is now negative on the year.  The Benchmark SPX is up nearly 7% on the year.  Keybot exited SH and entered DIA. As always watch for a whipsaw which would not be surprising to see over the coming day or so. The bears need to push volatility higher, the VIX up above 15.55, otherwise, the bulls will continue driving the bus moving forward.

3/10/13; 7:00 PM EST =

3/8/13; 9:00 AM EST =

3/4/13; 2:25 PM EST = +49; signal line is +43; go long 1520; (Benchmark SPX for 2013  = +6.6%)(Keybot this trade = -1.2%; Keybot for 2013 = +1.0%)(Actual this trade = -1.3%; Actual for 2013 = -0.3%)

3/4/13; 11:17 AM EST = +49; signal line is +44 but algorithm says stay short

3/4/13; 9:38 AM EST = +33; signal line is +45

3/3/13; 7:00 PM EST = +49; signal line is +46 but algorithm says stay short

3/1/13; 12:05 PM EST = +49; signal line is +47 but algorithm says stay short

3/1/13; 11:40 AM EST = +33; signal line is +48

3/1/13; 10:32 AM EST = +49; signal line is +49 but algorithm says stay short

3/1/13; 10:00 AM EST = +33; signal line is +49

3/1/13; 9:30 AM EST = +33; signal line is +51

2/28/13; 7:00 PM EST EOM = +49; signal line is +52

2/27/13; 10:21 AM EST = +49; signal line is +53

2/26/13; 11:51 AM EST = +33; signal line is +53

2/26/13; 11:13 AM EST = +17; signal line is +54

2/26/13; 10:00 AM EST = +33; signal line is +56

2/26/13; 9:37 AM EST = +33; signal line is +57

2/26/13; 9:35 AM EST = +17; signal line is +58

2/26/13; 9:32 AM EST = +31; signal line is +59

2/26/13; 9:30 AM EST = +17; signal line is +60

2/25/13; 3:59 PM EST = +31; signal line is +61

2/25/13; 3:20 PM EST = +47; signal line is +62; go short 1502; (Benchmark SPX for 2013  = +5.3%)(Keybot this trade = -1.3%; Keybot for 2013 = +2.2%)(Actual this trade = -1.5%; Actual for 2013 = +1.0%)

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

Keybot the Quant is bearish but the bulls only need to move the SPX above 1520 and hold it there for seven to ten minutes, and Keybot will likely go long.  The VIX dropped under 15 supplying bull fuel, well under the 15.55 bull-bear line.

3/10/13; 7:00 PM EST =

3/8/13; 9:00 AM EST =

3/4/13; 11:17 AM EST = +49; signal line is +44 but algorithm says stay short

3/4/13; 9:38 AM EST = +33; signal line is +45

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

Keybot the Quant remains short as the new week of trading begins and the algo wastes no time printing a number giving the initial nod to the bears.  The VIX number adjusts, watch VIX 15.55, now at 15.87 causing bearishness. Also watch SPX 1520. The beat goes on. Markets walk a tightrope not knowing which side to favor.

3/10/13; 7:00 PM EST =

3/8/13; 9:00 AM EST =

3/4/13; 9:38 AM EST = +33; signal line is +45

3/3/13; 7:00 PM EST = +49; signal line is +46 but algorithm says stay short

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

Keybot the Quant is short going into the Monday session and the bears will have to bring some firepower, or they will fold like a cheap suit. Volatility is going to determine the direction of the broad indexes at the bell. If VIX stays under 15.65, the bulls rule. If the VIX moves above 15.65, the broad markets will be selling off. For the SPX starting at 1518, the bulls only need to see two positive points, to move above 1520, to ignite an upside acceleration. If VIX stays under 15.65 and the SPX moves above 1520, Keybot will likely flip long. Therefore, the overnight futures are important. The bears need to push under 1502 to accelerate a downside move to the mid 1490's. A move through 1503-1519 is sideways action for Monday.  VIX 15.65 and SPX 1520 will dictate market direction.  If a strong gap up occurs at the opening bell, this may trigger a timer which would delay Keybot's move to the long side by about 90 minutes. Keybot prints one pre-scheduled number this week on Friday morning. The opening bell will tell a lot.

3/10/13; 7:00 PM EST =

3/8/13; 9:00 AM EST =

3/3/13; 7:00 PM EST = +49; signal line is +46 but algorithm says stay short

3/1/13; 12:05 PM EST = +49; signal line is +47 but algorithm says stay short

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

Keybot the Quant remains bearish through the weekend. The algo wants to flip back to the long side but is held back for now. The major influence on broad market direction is volatility. The VIX 15.65 will tell the tale as soon as the bell rings on Monday. If the SPX moves above 1520 and remains there, Keybot will likely flip back to the long side, however, next week's guidelines can be set up after the Sunday pre-scheduled number prints tomorrow.

3/3/13; 7:00 PM EST =

3/1/13; 12:05 PM EST = +49; signal line is +47 but algorithm says stay short

3/1/13; 11:40 AM EST = +33; signal line is +48

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

Keybot the Quant remains short but the algo wants to move to the long side. Internal programming rules are holding it back. One item the quant needs to trigger the flip to the bull side is for the SPX to move above 1525.  The market bears must push volatility higher to stop the upside move in the broad indexes. If the SPX crosses above 1525 and stays above, Keybot will likely flip long. The day started out bearish and now Keybot is on the verge of going long. Very erratic markets continue.

3/3/13; 7:00 PM EST =

3/1/13; 12:05 PM EST = +49; signal line is +47 but algorithm says stay short

3/1/13; 11:40 AM EST = +33; signal line is +48

3/1/13; 10:32 AM EST = +49; signal line is +49 but algorithm says stay short

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

Keybot the Quant remains bearish but things can change quickly. Volatility is dropping as the morning plays out sending the SPX higher. The algo number and signal line are the same number now, +49, which illustrates how the broad indexes are a complete toss-up at this point.  The internal programming is keeping Keybot short, for now. Watch VIX 15.65 today, it will tell the tale.

3/3/13; 7:00 PM EST =

3/1/13; 10:32 AM EST = +49; signal line is +49 but algorithm says stay short

3/1/13; 10:00 AM EST = +33; signal line is +49

STOCK MARKET BEARISH -- SHORT -- CAUTION

Keybot the Quant remains short. The algo prints a number at the open and the pre-scheduled number also printed. The bears are firmly in control but the caution flag will remain out.  The VIX is above 15.65 causing market bearishness. The XLF is above 17.23 causing bullishness. These two parameters are having the greatest influence on the broad indexes right now.

3/3/13; 7:00 PM EST =

3/1/13; 10:00 AM EST = +33; signal line is +49

3/1/13; 9:30 AM EST = +33; signal line is +51

2/28/13; 7:00 PM EST EOM = +49; signal line is +52

STOCK MARKET BEARISH -- SHORT -- CAUTION

Keybot the Quant remains short and motored along yesterday without printing any numbers until the pre-scheduled EOM print to cap off February. The algo number is only three points away from the signal line so the bears are leading only by a smidge. Copper and commodities continue to weaken; Dr. Copper is collapsing almost 2% this morning as this missive is typed. Volatility jumped yesterday helping the bears but the VIX stopped short of the 15.65 bull-bear line.  The bear path forward will be solid if the VIX jumps above 15.65 today. The bulls will continue to fight to push markets higher if the VIX drops. The quant is now tracking XLF 17.23 and RTH 45.55 as well. Both remain bullish so any move into the bear camp will embolden the market bears.

For the SPX starting at 1515, the bulls need to push above 1525 to ignite an upside acceleration that will run to 1531 in quick order.  Since the SPX closed at the low yesterday, the bears only need to see a smidge of negativity in the futures and that will light the way to a downside acceleration.  A move through 1516-1524 is sideways action. Keybot prints a pre-scheduled number at 10 AM so the market action can be updated at that time. Markets remain very unstable and erratic.

3/3/13; 7:00 PM EST =

3/1/13; 10:00 AM EST =

2/28/13; 7:00 PM EST EOM = +49; signal line is +52

2/27/13; 10:21 AM EST = +49; signal line is +53