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

Keybot the Quant is long going into the Tuesday morning opening bell; the first trading day of the week for the States. Copper and volatility remain the market drivers. The bulls need JJC above 38.77 to claim victory moving forward. The bears need VIX above 12.53 to claim victory. If the status quo remains, the stock market drifts sideways with an upward bias. One of these two will flinch; bulls win with higher copper; bears win with higher volatility.

For the SPX starting at 2003 on Tuesday morning, the bulls only need a smidge of green in the overnight futures and the move to 2010 should occur quickly. The bears need to push under 1995 to accelerate the downside to 1990-1991 in quick order. A move through 1996-2003 is sideways action for Tuesday.

Since US markets are closed on Monday, watch copper trading since it will likely dictate broad market direction come Tuesday. Markets remain dicey as evidenced by the narrow three point difference between the algo number and signal line. If the VIX moves above 12.53, and the SPX prints under 1995, Keybot will likely flip short. Keybot prints one pre-scheduled number this week on Friday morning.

9/7/14; 7:00 PM EST =

9/5/14; 9:00 AM EST =

8/31/14; 7:00 PM EST EOM = +54; signal line is +51

8/29/14; 10:00 AM EST = +54; signal line is +51

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

Keybot the Quant remains long through the holiday weekend. The bears were pushing volatility higher trying to create heavy selling into the weekend sending VIX to 12.44 only one dime from the 12.54 bull-bear line, but alas, the bears are slapped in the face, volatility collapses during the last hour of trading sending equities higher into the holiday. Copper and volatility remain the two key market directional drivers currently; bulls need higher copper and bears need higher volatility. Areas and levels of interest can be identified once the Sunday pre-scheduled number prints. US markets are closed on Monday for the Labor Day holiday and trading will resume on Tuesday morning. 

8/31/14; 7:00 PM EST EOM =

8/29/14; 10:00 AM EST = +54; signal line is +51

8/28/14; 10:00 AM EST = +54; signal line is +50

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

Keybot the Quant remains long after teasing a move to the short side yesterday. The battle between copper and volatility continues. Bears champion copper with JJC below 38.79 causing market negativity. Bulls wave the volatility banner with the VIX remaining under 12.54 creating market bullishness. One of these two parameters will flinch and dictate the path for ward for equities. Bears win with higher volatility. Bulls win with higher copper. VIX is printing at 12.34 as this is typed only 20 cents away from the bull-bear line in the sand.

The bulls needed to push the SPX above 1998 to create an upside acceleration which occurred with the SPX HOD at 2001.35. The SPX is now printing at 1996.24. The bears can create a downside acceleration if the 1991 support is lost. Note that both copper and volatility were in the bear camp early yesterday and Keybot was in position to flip short (the algo number was at +40 nine points below the signal line at +49) but the internal programming rules would not latch to allow the move, hence, the bulls keep driving the bus. If the VIX moves only 20 cents higher, to 12.54 and higher, and remains above, Keybot will likely flip short. The algo prints the pre-scheduled number a few minutes ago resulting in a one point bump higher for the signal line. Only three points separate the algo number and signal line, hence the imminent turn status is in the title line. Caution is required moving forward.

8/31/14; 7:00 PM EST EOM =

8/29/14; 10:00 AM EST = +54; signal line is +51

8/28/14; 10:00 AM EST = +54; signal line is +50

8/28/14; 9:45 AM EST = +40; signal line is +49 but algorithm remains long

8/28/14; 9:36 AM EST = +54; signal line is +48

8/27/14; 3:47 PM EST = +70; signal line is +47

STOCK MARKET BULLISH -- LONG -- CAUTION

Keybot the Quant remains long as copper dictates the market ebb and flow today. JJC closes exactly on the 38.80 bull-bear line in the sand. How is it possible for the algorithm to predict these numbers in advance? Even David Copperfield scratches his head. The pivot from JJC 38.80 will dictate the stock market direction for Thursday, thus, watch copper overnight, if up, market bulls will be happy tomorrow, if down, bears will rejoice. Also watch VIX 12.52. Copper and volatility remain the two key parameters currently determining broad market direction.

The bulls bump the algo number higher again late in the Wednesday session but the caution flag remains for now since the market price conditions are becoming dicey and unstable. For the SPX on Thursday starting at 2000, the bulls only need to see a smidge of green in the futures and the SPX will immediately run to 2005 and then potentially 2009-2011. The bears need to push under 1996 to accelerate the downside. The bears kept pushing today at the 1998-1999 level but never convincingly broke. A move through 1997-1999 is sideways and is too tight a range. One side or the other will win and run big in that respective direction tomorrow. If copper is up, and the S&P futures are a tiny amount positive, bulls will win big. If copper is weak, and the S&P futures are negative by any amount overnight, the bears will have another chance at bat and run the markets lower.

8/29/14; 10:00 AM EST =

8/27/14; 3:47 PM EST = +70; signal line is +47

8/27/14; 9:39 AM EST = +54; signal line is +45

STOCK MARKET BULLISH -- LONG -- CAUTION

Keybot the Quant remains long as the Wednesday trading is underway and copper fails with JJC under 38.81 and in the bear camp creating a ceiling in equities and ushering in the market weakness. VIX is 11.90 so the bears have to send this above 12.50 to show they mean business. If VIX moves above 12.50 it is likely that Keybot will flip short. Watch JJC 38.81 since it is steering the market direction ship so far. The SPX teased the break under 1998-1999 but recovers. If this level fails, 1991 should be on tap in quick order. Bulls need JJC above 38.81 and the market upside will begin again.

8/29/14; 10:00 AM EST =

8/27/14; 9:39 AM EST = +54; signal line is +45

8/26/14; 10:00 AM EST = +70; signal line is +42

STOCK MARKET BULLISH -- LONG

Keybot the Quant remains long and the battle with copper and volatility continues. Both parameters remain bullish which allows the stock market to keep floating sideways to sideways higher. The bears need either JJC 38.81 or VIX 12.52 to stop the market upside. JJC begins at 38.99 only 18 cents away from the bearish target. Copper is weak overnight down -0.2% but this will only create about 8 cents of downside and place JJC price at 38.90-ish so the bears will need more weakness if they want to flex their muscles. If copper is down about -0.5% or lower today that will place a lid in any further equity market upside. The bears also need higher volatility. VIX begins at 11.63 so the bears need a one-point jump to receive strong downside fuel. If both parameters flip bearish, Keybot will likely flip to the short side. If both parameters remain bullish, equities will continue floating higher.

For the SPX starting at 2000, the bulls need to push above 2005 to create an upside acceleration that will print 2009-2011 in quick order. The bears need to push under 1999 to accelerate the downside to 1991. A move through 2000-2004 is sideways action and a tight range so a winner will likely be determined outside this range.

8/31/14; 7:00 PM EST EOM =

8/29/14; 10:00 AM EST =

8/26/14; 10:00 AM EST = +70; signal line is +42

STOCK MARKET BULLISH -- LONG

Keybot the Quant remains bullish. The pre-scheduled number bumps the algo number up to +70 moving higher into what can be thought of as overbot territory. Copper is weaker with JJC at 39.02 continuing to create market upside. Bears need the JJC to move under 38.81; so, only about twenty cents lower. Volatility is flatish with VIX at 11.63 continuing to create bullishness. Bears need VIX above 12.53 or they got nothing. The beat goes on.

8/31/14; 7:00 PM EST EOM =

8/29/14; 10:00 AM EST =

8/26/14; 10:00 AM EST = +70; signal line is +42

8/24/14; 7:00 PM EST = +69; signal line is +40

STOCK MARKET BULLISH -- LONG

Keybot the Quant remains long and simpoly idled along today without printing any  numbers. The bears receive more slaps to the face with the SPX exploding higher and printing a new all-time record high above 2K at the 2002 palindrome. Interestingly, the prior all-time high about one week ago was 1991, another palindrome and of course the March 2009 market bottom was the 676 closing print; a palindrome. When copper was stronger this morning the fix was in for the bulls. Note that the VIX and the SPX are both up so one of them is wrong and tomorrow we find out which (volatility and the equity markets move inverse to each other and only move in the same direction less than 10% of the time).

Watch JJC 38.85 and VIX 12.58; both are now causing bullishness. Bears need one or both of these targets or they got nothing. If both flip bearish, Keybot the Quant will likely flip to the short side. If both remain bullish markets will continue floating higher. For the SPX starting at 1998, the bulls need to touch the actual 2002 handle and voila, the acceleration higher will continue targeting 2010. The bears need to push under 1992 to accelerate the downside. A move through 1993-2001 is sideways action. Watch copper and volatility. Keybot prints a pre-scheduled number tomorrow morning one-half hour after trading begins.

8/29/14; 10:00 AM EST =

8/26/14; 10:00 AM EST =

8/24/14; 7:00 PM EST = +69; signal line is +40

8/21/14; 10:02 AM EST = +69; signal line is +37

STOCK MARKET BULLISH -- LONG

Keybot the Quant is long moving into the new week of trading. Copper and volatility are driving market direction more than any other parameter right now. Watch JJC 38.73 (now at 39.12 creating market bullishness) and VIX 12.79 (now at 11.47 causing market bullishness). If both parameters remain bullish, equities will float up with the Dow Industrials and Transports printing new all-time highs and the SPX floating above 2000+. If 1 of the 2 parameters turn bearish, the market top is in, a ceiling is immediately placed on any further upside and equities will begin trending lower. If both parameters turn bearish, markets will be in serious sell off mode and Keybot will likely be in position to flip to the short side. Caution is required if 1 of the 2 parameters turn bearish and an imminent turn to the short side will be in play if both parameters turn bearish.

For the SPX starting at 1988, the bulls need to push above 1993.50 to create an upside acceleration that will carry the banner to 2000. The bears need to push under 1985 to accelerate the downside. A move through 1986-1993 is sideways action to begin the week. Bears need weaker copper and the S&P futures to be down -3 or more overnight to show they have game come Monday morning, otherwise, they got nothing. Keybot prints 2 pre-scheduled numbers this week; one on Tuesday morning and the other on Friday morning. The August month of trading began at SPX 1930.67 and ends on Friday. There are only five trading days remaining with the SPX comfortably 57 points above the starting number for a positive month, thus far. Will the bulls maintain a positive August?

8/31/14; 7:00 PM EST EOM =

8/29/14; 10:00 AM EST =

8/26/14; 10:00 AM EST =

8/24/14; 7:00 PM EST = +69; signal line is +40

8/21/14; 10:02 AM EST = +69; signal line is +37

STOCK MARKET BULLISH -- LONG

Keybot the Quant remains long through the weekend and did not print any numbers on Friday. The bulls are cruising without worry or concern. Bears need higher volatility and lower copper or they got nothing. Next week's areas and levels of interest can be identified once the algo prints the Sunday pre-scheduled number tomorrow.

8/24/14; 7:00 PM EST =

8/21/14; 10:02 AM EST = +69; signal line is +37

STOCK MARKET BULLISH -- LONG

Keybot the Quant remains long. Copper was weak the previous evening so the bears were going to stage a fight, however, at yesterday's opening bell copper turned positive and began running higher fueling the stock market gains and new all-time record highs for the SPX. It's all going the bull's way. Bears need either JJC under 38.73 and/or VIX above 12.80 to stop the market upside. Very interestingly, despite all the uber bullishness, if both copper and volatility turn bearish, respectively, Keybot will be in position to flip to the short side. The caution flag will be out if one of the two parameters enter the bear camp and the imminent turn status will be in play if both parameters turn bearish.

For the SPX starting at 1992, the bulls need three points, to touch the 1995 handle and bingo, the upside will accelerate to 2000+ for the first time in history. The bears need to push under 1987 to accelerate the downside. A move through 1988-1994 is sideways action to end the week. S&P futures are flat. Watch copper and volatility. Copper is higher in today's early trading.

8/24/14; 7:00 PM EST =

8/21/14; 10:02 AM EST = +69; signal line is +37

8/20/14; 3:57 PM EST = +53; signal line is +34

STOCK MARKET BULLISH -- LONG

Keybot the Quant remains long as the algo prints four numbers today in an active day. Copper tells the market story going forward; watch JJC 38.73 (JJC is 38.70 three pennies on the bear side causing market negativity). New all-time highs for the SPX are guaranteed if JJC moves above 38.73 so look for any smidge of positivity in copper trading overnight. The bears will focus on keeping JJC under 38.73 and at the same time try to push the VIX above 12.80 (now at 11.78 causing market bullishness) to stop the strong ongoing nine-day relief rally.

For the SPX for Thursday starting at 1987, the bulls need to touch the 1989 handle and bingo, stocks will run wildly higher in an upside acceleration party that has the SPX and other indexes printing new all-time highs. Watch the S&P futures overnight to see if the bulls can produce +2 of upside to continue the bull party, or not. The bears need to push under 1978 to accelerate the downside. A move through 1979-1988 is sideways action. The bulls are driving the bus but note that the signal line is quickly closing the gap towards the algo number now 19 points difference.

8/24/14; 7:00 PM EST =

8/20/14; 3:57 PM EST = +53; signal line is +34

8/20/14; 1:53 PM EST = +69; signal line is +32

STOCK MARKET BULLISH -- LONG

Keybot the Quant remains long as the bulls send copper higher slapping the bears in the face. The algo is tracking JJC 38.73 as the bull-bear line in the sand. JJC above 38.73 paves the way to new all-time market highs. Price is fighting along this important level now at 38.72 slipping a hair below. The VIX falls under 12 providing upside market fuel.

Pay attention to JJC 38.73 since copper dictates market direction currently.

8/24/14; 7:00 PM EST =

8/20/14; 1:53 PM EST = +69; signal line is +32

8/20/14; 1:26 PM EST = +53; signal line is +29

8/20/14; 12:17 PM EST = +69; signal line is +27

8/19/14; 9:00 AM EST = +53; signal line is +24

STOCK MARKET BULLISH -- LONG

Keybot the Quant remains long moving into the Wednesday session. Same-o scenario on tap. Bulls win with JJC above 38.61. Bears win with VIX above 12.83. Today was status quo so sideways to up would be expected and another 10 handles of up occurs for the SPX.

For the SPX starting at 1982, the bulls need only one point of upside in the overnight futures and bingo, another upside acceleration occurs to test at or near all-time highs at 1985-1991. The bears need to push below 1973 to accelerate the downside. A move through 1974-1982 is sideways action. Bulls need higher copper but price actually dropped -0.8% on Tuesday. Bears need higher volatility or they got nothing.

8/24/14; 7:00 PM EST =

8/19/14; 9:00 AM EST = +53; signal line is +24

STOCK MARKET BULLISH -- LONG

Keybot the Quant remains long moving into the Tuesday session. The algo prints this week's pre-scheduled number resulting in a two-point increase to the signal line. The bulls remain in full control. The fight is between volatility and copper. Bulls need higher copper, JJC above 38.61, to send markets higher to the all-time highs. Bears need higher volatility, VIX above 12.84, to place a lid on the market upside. If JJC stays under 38.61 and VIX under 12.84, status quo, equities will float sideways with an upward bias.

For the SPX today starting at 1972, the bulls only need a smidge of green to create an upside acceleration and the S&P futures are +6 so the acceleration path is already in play. The 1976 level is key resistance. The bears need to push under 1958, a formidable task, to create a downside acceleration. Instead, the bears will focus on pushing volatility higher to try and stop the market rally. Pay attention to volatility and copper.

8/24/14; 7:00 PM EST =

8/19/14; 9:00 AM EST = +53; signal line is +24

8/18/14; 9:36 AM EST = +53; signal line is +22

STOCK MARKET BULLISH -- LONG

Keybot the Quant remains long to begin the new week of trading. The bulls waste no time slapping the bear's in the face. Volatility drops with the VIX under 12.85 and financials jump higher with XLF well above 22.53 so bulls win. The SPX touches the 1964 handle so bingo, the SPX accelerates to a HOD at 1971.51 thus far. The bulls are cruising, unless of course, if a tape bomb hits the news wires. The bulls are in control of all major sectors except for commodities and copper that head south. Market bears need the VIX above 12.85 or they got nothing.

8/19/14; 9:00 AM EST =

8/18/14; 9:36 AM EST = +53; signal line is +22

8/17/14; 7:00 PM EST = +39; signal line is +20

STOCK MARKET BULLISH -- LONG

Keybot the Quant is long moving into the Monday session and new week of trading. Monday will be a battle between financials and volatility since these two sectors are the greatest influence on market direction to begin the week. Bears need XLF under 22.53 (now at 22.58 causing market bullishness). Bulls need VIX below 12.87 (now at 13.15 causing market bearishness). The bulls will have difficulty pushing equities higher unless the VIX drops under 12.87. Bears will create a market selloff with XLF under 22.53. If both parameters remains status quo, equities will float along sideways with a slight upward bias.

For the SPX starting at 1955, the bulls need to touch the 1964 handle to accelerate the upside. The bears need to push under 1941.50 to accelerate the downside. The wide 1942-1963 range is sideways action to begin the week. The bulls are cruising, however, if financials weaken (listen for any bank news overnight), the caution flag will be placed and Keybot will be moving towards a potential flip to the short side ahead. If good news occurs in banks overnight, equities will likely remain elevated early in the week. Keybot prints one pre-scheduled number this week on Tuesday morning.

8/24/14; 7:00 PM EST =

8/19/14; 9:00 AM EST =

8/17/14; 7:00 PM EST = +39; signal line is +20

8/15/14; 2:31 PM EST = +39; signal line is +18

STOCK MARKET BULLISH -- LONG

Keybot the Quant remains long through the weekend. Friday was a circus day of trading with the sharp drop in stocks occurring late morning; in fact about 10 minutes after the last message was posted. The stock market lows hit at 12 noon straight up; the algo number came to within six points of the signal line at 1 PM but never posed any serious threat to flip short. The bulls remain in full control, however, the spike in volatility above VIX 12.87 places a lid on the market upside. Volatility and financials will rule the roost come Monday morning. The areas and levels of interest can be identified once the Sunday pre-scheduled number prints tomorrow.

8/17/14; 7:00 PM EST =

8/15/14; 2:31 PM EST = +39; signal line is +18

8/15/14; 1:05 PM EST = +23; signal line is +17

8/15/14; 12:43 PM EST = +39; signal line is +16

8/15/14; 11:58 AM EST = +23; signal line is +15

8/15/14; 10:57 AM EST = +39; signal line is +16

8/15/14; 10:00 AM EST = +53; signal line is +15

STOCK MARKET BULLISH -- LONG

Keybot the Quant remains long. Volatility plummets with the VIX printing an 11-handle. Semi's and utilities jump higher. The SPX receives its smidge of green in the futures and the SPX is currently up +8 points playing around at the 1960-1961, 1963 and 1968 S/R levels. The bulls are driving the bus and just ran over the bears. The pre-scheduled number results in no change.

8/17/14; 7:00 PM EST =

8/15/14; 10:00 AM EST = +53; signal line is +15

8/14/14; 12:01 PM EST = +53; signal line is +15

STOCK MARKET BULLISH -- LONG

Keybot the Quant is bullish flipping long yesterday. The bears need SOX under 617.76, UTIL under 543.81 and/or VIX above 12.87 to stop the market upside. Otherwise, markets will float sideways to sideways higher. The bulls did some damage yesterday. Markets were at an inflection point and the lower volatility and higher semi's and utes slapped the bears in the face. For next week, the algo will fixate on UTIL 539.55 instead of the 543.81 number; thus, an easier level for the bulls to remain above. Watch UTIL at the closing bell today. If UTIL is under or near 540, that will hint that markets will be weak come Monday morning.

For the SPX starting at 1955, any smidge of green in the S&P futures will create a several handle upside acceleration to 1960-1961. S&P futures are +5 about two hours before the opening bell. The bears need to retrace yesterday's move and push under 1948 to regain mojo. A move through 1949-1955 is sideways action to end the week. The bulls are cruising but markets are eerily erratic and unstable. Copper and commodities remain firmly bearish and will prevent the bulls from moving significantly higher with stocks. Watch semi's, utes and volatility to forecast market direction. Keybot prints a pre-scheduled number this morning.

8/17/14; 7:00 PM EST =

8/15/14; 10:00 AM EST =

8/14/14; 12:01 PM EST = +53; signal line is +15

8/14/14; 11:46 AM EST = +37; signal line is +15

8/14/14; 11:17 AM EST = +53; signal line is +15

STOCK MARKET BULLISH -- LONG -- CAUTION

Keybot the Quant flips long as XLF 22.53, VIX 12.87, SOX 617.76 and UTIL 543.81 are all in the bull camp creating a bullish stock market. The break-throughs are all tentative so remain very cautious in these erratic markets. As always stay alert for a whipsaw either today or tomorrow. The SPX turns long at 1952 fueled by the lower volatility, higher semiconductors and higher utes as previously highlighted.

The algorithm program gained over 1% on the last trade but the actual trading was flat due to resiliency in the tech sector. Keybot cycled out of QID and into UWM. The bulls are driving the bus. Watch the above four parameters like a hawk since they are most greatly impacting market direction, especially the indecisive semiconductors and volatility.

8/17/14; 7:00 PM EST =

8/15/14; 10:00 AM EST =

8/14/14; 11:17 AM EST = +53; signal line is +15

8/14/14; 10:42 AM EST = +37; signal line is +15

8/14/14; 10:32 AM EST = +53; signal line is +15; go long 1952; (Benchmark SPX for 2014 = +5.6%)(Keybot this trade = +1.2%; Keybot for 2014 = +6.2%)(Actual this trade = +0.2%; Actual for 2014 = +5.6%)

8/14/14; 10:31 AM EST = +53; signal line is +15 but algorithm remains short

8/14/14; 10:24 AM EST = +37; signal line is +15 but algorithm remains short

8/14/14; 10:23 AM EST = +21; signal line is +15 but algorithm remains short

8/14/14; 10:14 AM EST = +7; signal line is +16

8/14/14; 9:42 AM EST = +21; signal line is +17 but algorithm remains short

8/13/14; 11:07 AM EST = +7; signal line is +17

8/11/14; 10:13 AM EST = -9; signal line is +18

8/11/14; 9:51 AM EST = +7; signal line is +20

8/10/14; 7:00 PM EST = -9; signal line is +22

8/8/14; 1:35 PM EST = -9; signal line is +24

8/6/14; 9:36 AM EST = -25; signal line is +26

8/3/14; 7:00 PM EST = -9; signal line is +30

8/1/14; 11:02 AM EST = -9; signal line is +32

8/1/14; 10:07 AM EST = +7; signal line is +35

8/1/14; 10:00 AM EST = -9; signal line is +36

8/1/14; 9:00 AM EST = -9; signal line is +39

7/31/14; 7:00 PM EST EOM = -9; signal line is +41

7/31/14; 11:59 AM EST = -9; signal line is +44

7/31/14; 11:19 AM EST = +7; signal line is +46

7/31/14; 9:58 AM EST = +23; signal line is +47

7/31/14; 9:48 AM EST = +39; signal line is +48

7/31/14; 9:40 AM EST = +23; signal line is +49

7/30/14; 9:47 AM EST = +39; signal line is +50

7/30/14; 9:36 AM EST = +53; signal line is +51 but algorithm remains short

7/29/14; 1:51 PM EST = +39; signal line is +52

7/29/14; 12:18 PM EST = +53; signal line is +53

7/29/14; 11:37 AM EST = +39; signal line is +54

7/29/14; 10:00 AM EST = +53; signal line is +56

7/29/14; 9:36 AM EST = +50; signal line is +57

7/28/14; 2:34 PM EST = +34; signal line is +58

7/28/14; 1:46 PM EST = +50; signal line is +59

7/28/14; 1:33 PM EST = +36; signal line is +60

7/28/14; 9:48 AM EST = +20; signal line is +62

7/28/14; 9:36 AM EST = +36; signal line is +63

7/27/14; 7:00 PM EST = +50; signal line is +64

7/25/14; 11:25 AM EST = +50; signal line is +64; go short 1975; (Benchmark SPX for 2014 = +6.9%)(Keybot this trade = -0.3%; Keybot for 2014 = +5.0%)(Actual this trade = -0.6%; Actual for 2014 = +5.4%)

STOCK MARKET BEARISH -- SHORT -- CAUTION -- TURN MAY BE IMMINENT

Keybot the Quant remains long as the VIX punches up through the 12.87 bull-bear line and now sits directly at 12.87 trying to decide which side to favor. High drama. Isn't it amazing how Keybot can identify these inflection points before they occur? Bulls have the upper hand today. If VIX drops under 12.87, or SOX above 617.73, or UTIL above 543.81 (only one of the parameters is necessary for the bulls), and, the SPX prints above 1951, Keybot will likely flip long. Bulls are goosing utilities due to the lower Treasury yields and gunning for UTIL 543.81 and higher to continue the stock market rally.

8/15/14; 10:00 AM EST =

8/14/14; 10:14 AM EST = +7; signal line is +16

8/14/14; 9:42 AM EST = +21; signal line is +17 but algorithm remains short

STOCK MARKET BEARISH -- SHORT -- CAUTION -- TURN MAY BE IMMINENT

Keybot the Quant remains short but a turn appears imminent. The algo wants to go long but the internal programming requirements are not yet completely latched. If the SPX prints above 1951.09 and holds this level for several minutes, Keybot will likely flip long. XLF is above the 22.53 bull-bear level causing bullishness. VIX is under the 12.87 level causing bullishness. SOX is teasing the 617.73 bull-bear line in the sand and bulls will receive more fuel if it is taken out to the upside. UTIl is 543.07 remaining in the bear camp under 543.81. Bears better beat financials and semi's lower and raise volatility pronto or they will fold like a cheap suit. The trading day is off to an erratic wild start. The SPX is printing at 1949.90......

8/15/14; 10:00 AM EST =

8/14/14; 9:42 AM EST = +21; signal line is +17 but algorithm remains short

8/13/14; 11:07 AM EST = +7; signal line is +17

STOCK MARKET BEARISH -- SHORT -- CAUTION -- TURN MAY BE IMMINENT

Keybot the Quant remains short. The algo is very close to turning to the long side and it is surprising the bulls could not push the wee bit further to lock in a recovery rally. Despite somber retail news, RTH remains above 59.52 (causing bullishness) and is of less importance to the algo. Financials took the indexes higher today. XLF is 22.55 in the bull camp creating market upside, albeit only two pennies above the 22.53 bull-bear line. The VIX drops to 12.90 and the bulls only need three more pennies, to push under 12.87, which will lock in market upside. SOX (semiconductors) is at 617 and the bulls only need 618 to create further market upside. UTIL climbed higher to only stop pennies short of the 543.81 bull-bear line (isn't it amazing to see price come up to these target numbers using them as pivot and inflection points and Keybot identifies these levels ahead of time hours and days before they occur?). So the door was wide open for the bulls today, but they did not walk through.

Bears immediately need XLF under 22.53 or they are in for a long Thursday of pain. Bulls need either VIX under 12.87, or, SOX above 617 or UTIL above 543.81, and the relief rally is here for equities with substantive upside. If 2 of the 3 parameters turn bullish, the broad indexes will run strongly higher. All 3 turning bullish will create 30 to 50 SPX handles of upside. So you can see how important Thursday will be. If any one of the 3 parameters turn bullish (volatility, semi's, utes), Keybot will likely flip to the long side, hence, the imminent turn status.

For the SPX starting at 1947, the bulls need to push above 1948.50 which ignites an upside acceleration and likely the strong relief rally will be in play. The bears need to push under 1936 to accelerate the downside. A move through 1937-1948 is sideways action. The bulls had it on a silver platter but did not yet take the prize. Bears need XLF under 22.53 pronto or they are in big trouble. Volatility and financials as described above will immediately tell you the correct market direction after the opening bell.

8/15/14; 10:00 AM EST =

8/13/14; 11:07 AM EST = +7; signal line is +17

8/11/14; 10:13 AM EST = -9; signal line is +18

STOCK MARKET BEARISH -- SHORT -- CAUTION

Keybot the Quant remains short moving into the Wednesday session. The algo is tracking UTIL 543.81, XLF 22.53 and RTH 59.51 as the key market drivers. The bulls need to meet the utilities and financials goal to prove markets will move higher. The bears need to drive retail stocks lower to prove they can take the markets lower, respectively. Retail Sales data hits in two hours and will impact RTH and the S&P futures.

For the SPX starting at 1934, the bulls need to touch the 1940 handle and victory occurs with an upside acceleration. The bears need to push under 1928.50 to claim victory and create a downside acceleration. A move through 1929-1939 is sideways action. S&P futures are +8 inching higher over the last few hours which would easily allow the SPX to attack the critical 1940 at the opening bell. If both UTIL and XLF turn bullish, Keybot will likely flip long. 

8/17/14; 7:00 PM EST =

8/15/14; 10:00 AM EST =

8/11/14; 10:13 AM EST = -9; signal line is +18

STOCK MARKET BEARISH -- SHORT -- CAUTION

Keybot the Quant remains short after an interesting trading day to begin the week. The bulls appeared golden today goosing copper, financials and utilities but fell short on all three goals. UTIL came up to back kiss the important 543.81 and failed. Copper weakened today with JJC unable to overtake 38.91. The air came out of financials with XLF unable to move above 22.53. The bulls need any of these three parameters to turn bullish and it is party time for more market upside. If 2 of these 3 parameters turn bullish, Keybot will likely flip long.

If all three parameters remain in the bear camp, a lid is placed on the market upside and selling should resume. Bears will receive more downside fuel with RTH 59.51 and retail earnings are released this week and Retail Sales data is released on Wednesday morning at 8:30 AM EST.

For the SPX starting at 1937 S/R for Tuesday, the bulls need to push price higher to touch the 1945 handle and bingo, the upside rally will continue in force to 1949-1951 quickly. The bears need to push under 1933.50, and bingo, the bears will enjoy a downside acceleration targeting 1924 in quick order. A move through 1934-1944 is sideways action for Tuesday. Watch copper overnight. 

8/17/14; 7:00 PM EST =

8/15/14; 10:00 AM EST =

8/11/14; 10:13 AM EST = -9; signal line is +18

STOCK MARKET BEARISH -- SHORT -- CAUTION

Keybot the Quant is bearish as the new week of trading is underway and the algo is active printing two numbers. The bulls keep RTH elevated and push UTIL above the important 543.81 to create upside market fuel, but UTIL drops back under. Copper is heading higher with JJC at 38.84 only pennies from the bull-bear line at 38.92 that the algo calculates. If UTIL moves above 543.81 and JJC above 38.92, the stock market will run strongly higher and Keybot will likely flip long. Market bears are fine if UTIL and JJC remain in the bear camp under the levels listed. The SPX receives its one point of upside at the bell and catapults higher up about +10 thus far. Utilities and copper, however, will provide the market direction answer.

8/15/14; 10:00 AM EST =

8/11/14; 10:13 AM EST = -9; signal line is +18

8/11/14; 9:51 AM EST = +7; signal line is +20

8/10/14; 7:00 PM EST = -9; signal line is +22

STOCK MARKET BEARISH -- SHORT -- CAUTION

Keybot the Quant remains bearish moving into the new week of trading. The bulls receive juice from RTH moving above 59.51 so keep an eye on this metric. Copper remains in the bear camp with JJC under 38.92. Utilities are in the bear camp with UTIL under 543.81. Retail stocks, copper and utility stocks are driving market direction right now more than any other parameters. UTIL begins the week at 542.69 only about a buck to the bear side. Watch utes at the opening bell. If UTIL moves above 543.81, the broad indexes will gain more upside strength. If UTIL and JJC turn bullish, the algorithm may flip to the long side, hence the caution flag is out which may become an imminent turn signal if copper and utilities turn jubilant. The bears need RTH under 59.51 to prove they are in control.

For the SPX starting at 1931.50, the bulls only need one point of upside, to 1932.50-ish, and bingo, the broad indexes will run another leg higher. So the overnight S&P futures are important and the bulls appear in control ready for a happy start to the week, however, look how fast the markets changed on Friday. The bears need to push under 1909 to regain their mojo, a formidable task, so instead bears will focus on creating weakness in retail, copper and utilities; these three metrics provide the market direction answer for Monday. Keybot prints one pre-scheduled number this week on Friday morning.

8/17/14; 7:00 PM EST =

8/15/14; 10:00 AM EST =

8/10/14; 7:00 PM EST = -9; signal line is +22

8/8/14; 1:35 PM EST = -9; signal line is +24

STOCK MARKET BEARISH -- SHORT

Keybot the Quant remains short as a wild roller coaster ride today catapults the stock market higher. The bulls are doing it with the retail sector. Watch the RTH 59.51 bull-bear line in the sand. The bulls will maintain higher equities as long as the RTH remains above 59.51. Bears will resume the selling if RTH falls under 59.51. RTH is currently printing 59.61.

Bulls will also receive upside fuel with either JJC 38.92 and/or UTIL 543.81. Both are creating market negativity currently at 38.81 and 541.42, respectively. Utes are running higher so watch UTIL 543.81 to see if the bulls have more juice, or not. The SPX is attacking the 1928-1929 resistance mentioned in the previous post trying to poke through to create a further acceleration into the mid to upper 1930's. Bears need RTH 59.51. Bulls need UTIL 543.81 or JJC 38.92.

8/10/14; 7:00 PM EST =

8/8/14; 1:35 PM EST = -9; signal line is +24

8/6/14; 9:36 AM EST = -25; signal line is +26

STOCK MARKET BEARISH -- SHORT

Keybot the Quant remains short. The bulls need either JJC 38.92 or UTIL 543.81 to stop the market selling. UTIL 543.81 will remain a bull goal all through next week. Bears will receive more downside fuel if UTIL drops under the 50-week MA now at 516.40. Watch the NYA which has not seen activity with the algorithm in quite some time. The NYA 40-week MA is a key bull-bear market indicator. The NYA is at 10584 and the 40-week MA is 10475. Bears receive more selling fuel if the 10475 level fails, only about 100 points lower.

For the SPX starting at 1910, the bulls need to touch 1929 to regain their mojo, a formidable task especially with very weak S&P futures. The bears need to push under 1905, only 5 points lower, to accelerate the downside several more handles which will breach the SPX 1900 level. A move through 1906-1928 is sideways action. The bears continue to cruise. S&P futures were -15 a couple hours ago and are now down -6 three hours before the US opening bell.

8/10/14; 7:00 PM EST =

8/6/14; 9:36 AM EST = -25; signal line is +26

STOCK MARKET BEARISH -- SHORT

Keybot the Quant remains short moving into the Thursday session. Copper failed on Wednesday and it is very surprising that equities did not give up the ghost. Perhaps it will be delayed reaction and hit tomorrow? Watch JJC 38.92 (now at 38.64 creating market negativity). Bulls need JJC above 38.92 or they are in serious trouble.

The UTIL 50-week MA at 516.30 is an extremely critical level. Utilities are dropping dramatic over the last month down to 526 now only ten points above the critical 516. Long-time followers of Keybot the Quant will remember the trap-door references time to time. It is time to beat that drum again. UTIL 516 is a trap-door for the broad market. If utilities fail at this level, equities will tumble into free fall in quick order. There are utility company earnings on tap tomorrow morning which will greatly impact UTIL.

For the SPX starting at 1920, the bulls need to touch the 1928 handle and an upside acceleration will occur. The bears need to push under 1911.50 to create a downside acceleration. A move through 1912-1927 is sideways action.

With the copper failure today, a drop of 10 to 20 SPX handles should have occurred and it is a question why it did not? The bears are in firm control with the algo number now 51 points under the signal line. Equities should be dropping due to JJC under 58.92 perhaps tomorrow holds a surprise. If UTIL 516 fails any time forward, a trap-door opens and the stock market will tumble into free fall in quick order.

The bulls need to move copper higher pushing JJC above 38.92 which will stop the market selling and begin a relief rally. Watch copper overnight since as copper goes, so goes the market.

8/10/14; 7:00 PM EST =

8/6/14; 9:36 AM EST = -25; signal line is +26

STOCK MARKET BEARISH -- SHORT

Kebot the Quant remains short. The algo prints the first number this week as the critical JJC 38.92 bull-bear line in the sand fails. It is very surprising to see copper fail today, and JJC remains under 38.92, but the equities are flat lining and printing positively. As long as the JJC stays under 38.92, the expectation would be for more market selling. If JJC moves above 38.92, then the market upside and a relief rally will be confirmed. It's all about copper. JJC is currently printing 38.63 almost 30 cents under the critical bull-bear danger line.

8/10/14; 7:00 PM EST =

8/6/14; 9:36 AM EST = -25; signal line is +26

8/3/14; 7:00 PM EST = -9; signal line is +30

STOCK MARKET BEARISH -- SHORT

Keybot the Quant remains short moving into the Wednesday session. The algo has not printed any numbers yet this week despite all the market drama. The bears remain steady to the downside. RTH collapses like the tuba player after marching in the hot summer sun. Watch copper as the key market driver. JJC dropped to near 39 zeroing in on Keybot's target number.

Watch JJC 38.94 as the bull-bear line in the sand. The behavior in copper overnight and through tomorrow is critical for market direction. JJC begins at 39.08 only 14 pennies in the bull camp creating lift in equities. Market bears need JJC under 38.94 and the market carnage they have been patiently waiting for two years will be at hand. If copper fails, the market is in serious trouble. Bulls need to maintain JJC above 38.94, above 39, above 39.08, and heading higher which will signal the all-clear and the next stock market relief rally is on tap.

For the SPX starting at 1920, the bears need to push under 1914 and victory is at hand. Copper will be collapsing and the SPX will likely make a beeline to 1900. The bulls need to retrace the 19 points of downside bear damage to regain their mojo, a formidable task, so instead the bulls will focus on not allowing copper to fail while trying to keep S&P futures buoyant. A move through SPX 1915-1935 is sideways action for Wednesday. The bears are driving the bus. Watch copper since as copper goes, so goes equities.

8/10/14; 7:00 PM EST =

8/3/14; 7:00 PM EST = -9; signal line is +30

STOCK MARKET BEARISH -- SHORT

Keybot the Quant remains short moving into the Tuesday session. The algo is identifying the retail sector as the key market directional determinant today with financials and utlities also important. Watch RTH 59.50-59.51. Price is 59.49 only one penny away; it is always amazing to see the price action seek the algorithms numbers of interest which act as magnets. The relief rally continues far higher if the bulls push RTH above 59.51. Bears will maintain a lid on the market upside if RTH stays under 59.50. Check RTH at the opening bell to see who wins.

Watch XLF 22.55 (now at 22.40 causing markt negativity). Bulls need XLF 22.55 and higher to create upside market fuel. Also watch utilities. UTIL is 539 well under this week's level of interest at 551.66 giving a green light to bears, however, for next week, this bull-bear line in the sand drops to UTIL 543.81. Write this number down since it is very important moving into trading later this week and on Monday. Bears must keep UTIL under 543.81 for the next nine trading days to maintain downside selling pressure in equities. Bulls will recover if UTIL moves above 543.81; this number will not mean as much over the next couple days but will rule the roost come Friday and all of next week.

For the SPX for Tuesday starting at 1939, the bulls need to move above 1943, four points higher, to create an upside acceleration. The bears need to push under 1921, retracing yesterday's move, to regain downside mojo. A move through 1922-1942 is sideways action for Tuesday. The bears continue to cruise as the relief rally move sorts itself out. The RTH 59.51 bull-bear line in the sand will dictate market direction so listen closely for any news concerning retailers.

8/10/14; 7:00 PM EST =

8/3/14; 7:00 PM EST = -9; signal line is +30

STOCK MARKET BEARISH -- SHORT

Keybot the Quant remains short as a new week of trading is set to begin. The algo number is 39 points below the signal line so the bears are in full control. Watch UTIL 551.66 and JJC 38.89. Bulls need UTIL above 551.66 at anytime this week to stop the broad market bleeding. Bears need weaker copper sending JJC under 38.89 to receive more downside fuel taking the SPX to the low 1900's. Watch copper overnight since the broad indexes will likely move in the same direction come Monday.

For the SPX starting at 1925, the bears need to push under 1916.50 and a downside acceleration towards 1910 will occur in quick order. The bulls need to push above 1937 to signal the all-clear and mount a sustainable recovery rally. So the bears need 9 points lower while the bulls need 12 points higher. In the middle, through 1917-1936 is sideways action for Monday. Keybot does not print any pre-scheduled numbers this week. Last week was a very active week for the algorithm.

8/10/14; 7:00 PM EST =

8/3/14; 7:00 PM EST = -9; signal line is +30
8/1/14; 11:02 AM EST = -9; signal line is +32

STOCK MARKET BEARISH -- SHORT

Keybot the Quant remains short through the weekend. Note how utilities, UTIL, recovered to back kiss 543 at 2:40 PM and then failed, rolling over, taking the broad indexes with it. The bulls did not have the strength to recover. UTIL is well under the critical 551.66 level applicable for all of next week so the bears are in good shape. The markets suffered serious technical damage. Utilities and copper are the strongest focus of the algo currently. Areas and levels of interest cam be identified for next week once the Sunday pre-scheduled number prints tomorrow.

8/3/14; 7:00 PM EST =

8/1/14; 11:02 AM EST = -9; signal line is +32

8/1/14; 10:07 AM EST = +7; signal line is +35
8/1/14; 10:00 AM EST = -9; signal line is +36

8/1/14; 9:00 AM EST = -9; signal line is +39

7/31/14; 7:00 PM EST EOM = -9; signal line is +41