Saturday, May 24, 2014

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

Keybot the Quant remains long through the 3-day holiday weekend. Trading does not resume until Tuesday morning. The bulls run strongly higher fueled by strong financials, semiconductors and copper, and lower volatility. The VIX is at lows not seen since March 2013 over one year ago.

The retail sector is the fly in the ointment for bulls since they must go up through RTH 58.61 to guarantee the SPX running strongly above 1900. The SPX closed above 1900 for the first time in history on Friday. The RTH came up for a HOD at 58.57 so the bulls were pushing the retail stocks as hard as possible, but, fell a few pennies short. RTH 58.61 will determine the fate of bulls and bears come Tuesday. Bulls win above RTH 58.61. Bears win if the RTH remains under 58.61.

Any other areas and levels of interest can be highlighted after the Sunday pre-scheduled number prints. The imminent turn notation remains in place since the bears could reverse the rosy outlook in quick order. The algo number is only nine points above the signal line. Markets remain in an erratic sideways bull-bear struggle. Happy Memorial Day. 

5/25/14; 7:00 PM EST =
5/22/14; 9:44 AM EST = +64; signal line is +55; go long 1889; (Benchmark SPX for 2014 = +2.2%)(Keybot this trade = -0.5%; Keybot for 2014 = +2.4%)(Actual this trade = -1.1%; Actual for 2014 = -0.3%)

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