STOCK MARKET BULLISH -- LONG -- CAUTION

Keybot the Quant remains long although the algo wants to flip short again. This is the fourth time this week the algo threatens to move to the bear side. JJC fell back under 39.02 to help the bears out today and discourage the bulls. However, volatility is crushed with the VIX down at 12.11 so the bears cannot develop any energy. The battle of copper and volatility, JJC 39.02 and VIX 14.26, will continue into next week. If the SPX would collapse into the closing bell and drop under 1690, Keybot will likely flip short, however, this is a tall order and the markets will likely prefer to dribble out sideways into the weekend with an upward buoyancy. The bears and bulls have a truce until JJC 39.02 or VIX 14.26 makes a decision and sends markets in that respective direction.

8/4/13; 7:00 PM EST =

8/2/13; 11:55 AM EST = +49; signal line is +50 but algorithm says stay long

8/2/13; 9:30 AM EST = +65; signal line is +49

8/2/13; 9:00 AM EST = +49; signal line is +49 but algorithm says stay long

8/1/13; 11:18 AM EST = +49; signal line is +48

8/1/13; 10:19 AM EST = +65; signal line is +47

8/1/13; 10:04 AM EST = +49; signal line is +46

8/1/13; 9:30 AM EST = +65; signal line is +45

7/31/13; 7:00 PM EST EOM = +49; signal line is +42

7/31/13; 9:50 AM EST = +49; signal line is +41

7/31/13; 9:36 AM EST = +35; signal line is +40 but algorithm says stay long

7/30/13; 10:00 AM EST = +49; signal line is +39

7/30/13; 9:31 AM EST = +50; signal line is +38

7/29/13; 11:06 AM EST = +34; signal line is +37 but algorithm says stay long

7/28/13; 7:00 PM EST = +50; signal line is +36

7/26/13; 10:00 AM EST = +50; signal line is +35