Monday, September 15, 2014


Keybot the Quant remains short with some intense market action occurring. Both utilities and semiconductors fail this morning so it is surprising to not see the broad indexes tumbling lower in earnest. As this message is typed UTIL is trying to regain the critical 550 level and SOX is trying to regain the critical 632.85 bull-bear line in the sand. Pay close attention to these two parameters as they control market direction. Volatility is higher with VIX above 14 creating sustainable market negativity. If the UTIL and SOX cannot print on the bull side in the minutes ahead, the markets will fall down the rabbit hole in a downside acceleration. The broad indexes will recover today if either UTIL moves above 550 or if SOX moves above 632.85. The bears are cruising. The market action will become very ugly unless the bulls push utes or socks higher.

9/18/14; 9:00 AM EST =
9/15/14; 12:09 PM EST = +10; signal line is +49
9/15/14; 11:23 AM EST = +26; signal line is +51
9/14/14; 7:00 PM EST = +42; signal line is +52

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