STOCK MARKET BULLISH -- LONG -- CAUTION

Keybot the Quant is long going into the Tuesday session. The SPX dropped yesterday but volatility remains low so the downside was not a serious threat. The algo idles along without printing any numbers. The algo is tracking semiconductors. Watch SOX 425, now at 427.80. A drop through SOX 425 will initiate strong broad market selling. Watch VIX 14.55 (currently creating market bullishness) and GTX 4930 (currently creating market bearishness) as well.

For the SPX, starting at 1562, the bulls need to touch the 1571 handle which will immediately launch a move to test the all-time closing high at 1576. The bears need to push below 1559 to accelerate the downside. A move through 1560-1570 is sideways action. S&P futures are pointing to seven points of upside with the open about 3 1/2 hours away.

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