Tuesday, December 3, 2013

STOCK MARKET BEARISH -- SHORT -- CAUTION

Keybot the Quant remains short. The market oddness continues with the algo weakening but equities remaining elevated. Market bears are a hair away from creating strong downside if UTIL 482.94 fails. UTIL begins at 485.15 only 2 points away from opening the trap-door. The market weakness yesterday was created with the VIX moving above 13.94 and this bull-bear danger line remains in play. Equities will leak lower as long as the VIX stays above 13.94, now at 14.23. The bulls need either UTIL 491.20, VIX 13.94 and/or GTX 4805, any one of these will do, and equities will recover and move higher again. The bears need UTIL 482.94 and all Hades will likely break loose for markets with a substantial drop lower.

For the SPX starting at 1801, the bulls need to push above 1810 and that will start the trek to the 1820's. The bears need to push only a couple points lower, under 1799, to accelerate the downside. S&P futures are -4.4 at this writing 3-1/2 hours before the opening bell. A move through 1800-1809 is sideways action for Tuesday trading. The imminent turn notation is temporarily removed from the title line since the algo number is now 18 points under the signal line, however, if utes, volatility and/or commodities turn bullish, as described above, consider the imminent turn notation to be back in play for the bulls. The bears have markets on a silver platter only needing to send UTIL under 482.94 to begin more extensive downside selling.

12/6/13; 9:00 AM EST =
12/2/13; 3:32 PM EST = +16; signal line is +34
12/2/13; 11:48 AM EST = +30; signal line is +34

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