STOCK MARKET BEARISH -- SHORT -- CAUTION

Keybot the Quant remains bearish moving into the new week of trading. Bulls and bears continue fighting and the pivot at VIX 14.39 immediately identifies which side receives the nod to begin the week. Bears win with VIX remaining above 14.39. Bulls win with VIX under 14.39. Watch RTH 59.57 with price now below causing negativity in equities. Watch XLF 21.77 with price now above causing market bullishness. If VIX drops under 14.39, and RTH moves above 59.57, and the SPX prints above 1867, Keybot will likely flip long.

Pay attention to volatility since the bulls may jog VIX above and below the critical 14.39 as Monday proceeds. This will potentially enable bulls to jog the algo into place for a potential flip to the long side without needing the cooperation of RTH 59.57. So if the VIX crosses 14.39 every hour or so, above and below, a few times, that action is likely more favorable to bulls than bears.

For the SPX starting at 1858, the bulls need to touch 1867 and an upside acceleration will occur. Bears need price under 1850 to usher in strong selling in equities. Note how price begins in the exact middle of the top and bottom targets, each side needing about 8 handles to claim victory for their side. A move through 1851-1866 is sideways action for Monday.

The bears are driving the bus but markets remain a toss-up. If the SPX drops under 1850, or XLF under 21.77, the bears mean business and equities will finally commit to a more sustainable downside move. Bulls will be very happy and confident if VIX drops under 14.39. Keybot prints a pre-scheduled number Monday evening for EOM and also a number on Friday morning. The imminent turn status is not in the title line but if VIX drops under 14.39 consider an imminent turn to be in play.

4/6/14; 7:00 PM EST =

4/4/14; 9:00 AM EST =

3/31/14; 7:00 PM EST EOM =

3/30/14; 7:00 PM EST = +33; signal line is +48

3/28/14; 2:06 PM EST = +33; signal line is +49