STOCK MARKET BEARISH -- SHORT -- CAUTION

Keybot the Quant flips to the short side. Volatility spiked and copper tumbled lower creating market negativity. As always, stay alert for a whipsaw tomorrow. Watch VIX 13.12 and JJC 41.77. In the final few minutes, copper recovered to close at JJC 41.82, jumping back into the bull camp, creating the lift in equities into the closing bell. Watch copper overnight since positivity will lead to a bull recovery tomorrow but negativity in copper will continue the market push lower.

Keybot exited DIA and entered SDS, a double inverse ETF. The last trade results in a 6% gain for the algo program and 5% gain in actual trading. For the SPX on Thursday starting at 1655, the bears need to push under the strong 1649-1650 support to take the next leg lower. Bulls need to recover today's losses and then some, a huge task of about 33 points of upside, a formidable endeavor, but never say never in these crazy markets. Instead, the bulls will focus on pushing copper higher and volatility lower to stem the downside. Markets remain erratic and unstable, simply look at today's action. Tomorrow the bears show if they have any gusto, or not.

5/26/13; 7:00 PM EST =

5/22/13; 3:58 PM EST = +48; signal line is +46 but algorithm says stay short

5/22/13; 2:12 PM EST = +32; signal line is +46; go short 1661; (Benchmark SPX for 2013 = +16.5%)(Keybot this trade = +5.9%; Keybot for 2013 = +6.8%)(Actual this trade = +5.0%; Actual for 2013 = +5.5%)

5/22/13; 10:20 AM EST = +48; signal line is +46

5/22/13; 10:13 AM EST = +62; signal line is +46

5/22/13; 9:30 AM EST = +48; signal line is +45

5/21/13; 2:37 PM EST = +32; signal line is +44 but algorithm says stay long

5/21/13; 11:30 AM EST = +46; signal line is +44

5/21/13; 10:34 AM EST = +32; signal line is +44 but algorithm says stay long

5/21/13; 10:12 AM EST = +48; signal line is +45

5/21/13; 9:30 AM EST = +62; signal line is +45

5/20/13; 10:24 AM EST = +46; signal line is +43

5/20/13; 9:30 AM EST = +32; signal line is +42 but algorithm says stay long

5/19/13; 7:00 PM EST = +46; signal line is +41

5/17/13; 10:00 AM EST = +46; signal line is +40

5/16/13; 3:58 PM EST = +46; signal line is +38

5/16/13; 3:47 PM EST = +32; signal line is +37 but algorithm says stay long

5/16/13; 10:36 AM EST = +46; signal line is +38

5/16/13; 10:01 AM EST = +32; signal line is +37 but algorithm says stay long

5/16/13; 9:00 AM EST = +46; signal line is +38

5/15/13; 1:35 PM EST = +46; signal line is +37

5/15/13; 12:40 PM EST = +32; signal line is +37 but algorithm says stay long

5/13/13; 9:30 AM EST = +46; signal line is +37

5/12/13; 7:00 PM EST = +62; signal line is +36

5/10/13; 3:54 PM EST = +62; signal line is +34

5/8/13; 11:04 AM EST = +46; signal line is +33

5/8/13; 9:32 AM EST = +62; signal line is +32

5/5/13; 7:00 PM EST = +46; signal line is +31

5/3/13; 9:00 AM EST = +46; signal line is +31

5/2/13; 10:14 AM EST = +46; signal line is +31

5/1/13; 9:36 AM EST = +32; signal line is +31

4/30/13; 7:00 PM EST EOM = +46; signal line is +32

4/30/13; 10:45 AM EST = +46; signal line is +32

4/30/13; 10:00 AM EST = +32; signal line is +31

4/30/13; 9:58 AM EST = +32; signal line is +32 but algorithm says stay long

4/28/13; 7:00 PM EST = +46; signal line is +32

4/26/13; 10:00 AM EST = +46; signal line is +32

4/23/13; 9:30 AM EST = +46; signal line is +32; go long 1569; (Benchmark SPX for 2013 = +10.0%)(Keybot this trade = -0.2%; Keybot for 2013 = +0.9%)(Actual this trade = -0.8%; Actual for 2013 = +0.5%)