STOCK MARKET BULLISH -- LONG -- CAUTION

Keybot the Quant  remains long moving into the Wednesday session. Volatility, VIX, teased the 13.20 level yesterday and then collapsed sending the SPX upwards to print new all-time highs. VIX 13.20 remains key; bulls will maintain elevated markets with VIX under 13.20 while bears will growl if VIX moves above 13.20. For the SPX starting at 1650, the bulls need to touch and move above the 1651 handle, only one point higher, to create another upside acceleration. The bears need to retrace yesterdays move and push under 1634 to regain their mojo. A move through 1635-1650 is sideways action. If the VIX pops above 13.20, and the SPX drops under 1634, Keybot will likely flip short, otherwise, the bulls are driving the bus forward. Copper and commodities weakness has no affect on markets, so far. The broad indexes remain erratic and unstable. Caution is warranted.

5/16/13; 9:00 AM EST =

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