STOCK MARKET BULLISH -- LONG -- CAUTION -- TURN MAY BE IMMINENT

Keybot the Quant remains long as the week begins on a flat note. The bears keep JJC under 39.02, but could not move the SPX under 1701, so they got nothing. The algo continues to track copper as the key parameter dictating market direction as well as commodities and volatility. Watch JJC 39.02, GTX 4800 and VIX 14.20. Copper is causing bearishness while commodities and volatility are creating bullishness, respectively.

For the SPX today, starting at 1707, bulls need to move above 1709 to accelerate the upside while the bears need to push under 1704 to accelerate the downside. A move through 1705-1708 is sideways action and such a tight range that a move either higher or lower is more likely. If JJC stays under 39.02, and the SPX drops under 1704, and stays under, Keybot will likely flip short, hence the imminent turn notation remains in the title line. However, in early trading, as this missive is typed, copper is up 1% and would send JJC to 39.30-ish at the opening bell crushing any bear hope. Markets remain erratic and unstable. Futures indicate a slightly down open at this time but bulls have no worries if copper moves higher.

8/11/13; 7:00 PM EST =

8/4/13; 7:00 PM EST = +49; signal line is +50 but algorithm says stay long