STOCK MARKET BEARISH -- SHORT -- CAUTION

Keybot the Quant is short moving into the Tuesday session. The failure in semiconductors and volatility today is important and created the market selling. The algo is now tracking financials with interest. For the bulls to regain mojo, they must push either the SOX above 425.65, now at 422.67 creating market negativity, or, the VIX below 14.30, now at 17.27 creating market negativity. The bears need to push XLF under 17.94, now at 18.08 creating market bullishness. If all three parameters remain as is, the markets will float along sideways.

For the SPX starting at 1552, closing at the lows, the bears only need to see a smidge of red in the futures and the market downside will accelerate at the opening bell. The bulls will fight overnight to keep the futures positive and at the same time work on boosting semi's and pushing volatility lower.  A move through 1553-1587 is sideways action. SOX 425.65, VIX 14.30, XLF 17.94 and SPX 1552 will tell the market story. Keybot prints a pre-sheduled number in the morning so the action can be updated at that time.

4/21/13; 7:00 PM EST =

4/16/13; 9:00 AM EST =

4/15/13; 2:56 PM EST = +17; signal line is +34

4/15/13; 2:44 PM EST = +33; signal line is +35