STOCK MARKET BEARISH -- SHORT -- CAUTION

Keybot the Quant remains short as stocks continue a jumpy sideways path. The SPX is fighting above and below the 2100 level. The fight is between semiconductors and retail stocks in the bear camp against financials in the bull camp. One of these three parameters will likely flip sides identifying the path ahead for the stock market. The market bulls need either SOX above 698 or RTH above 76.30 to get their mojo back. The bears need to push XLF under 24.19 and another leg lower will occur for the broad indexes.

The utility trap-door is in play. Watch UTIL 580.79. This is the 50-week MA a level that is watched by market participants for decades. Many algorithm's, Keybot included, have the utility sector's 50-week MA programmed into their models. UTIL is currently printing 583.87. If the 580-581 fails, a trap-door typically opens and within say one-half hour's time a drop will begin that will quickly flush the broad stock market lower, sometimes into free fall. The SPX would likely lose 20 to 30 handles in a heartbeat. So keep a close eye on UTIL 581; bulls must hold this level with all their might, otherwise, they will crumble.

The beat goes on. XLF is 24.25 only six pennies from creating strong broad market selling pressure.

5/1/15; 10:00 AM EST =

4/30/15; 7:00 PM EST EOM =

4/30/15; 11:05 AM EST = +49; signal line is +59

4/30/15; 10:06 AM EST = +33; signal line is +58

4/29/15; 10:04 AM EST = +49; signal line is +59

4/29/15; 9:57 AM EST = +65; signal line is +60 but algorithm remains short

4/29/15; 9:36 AM EST = +49; signal line is +60

4/28/15; 3:38 PM EST = +65; signal line is +60 but algorithm remains short

4/28/15; 2:44 PM EST = +51; signal line is +60

4/28/15; 11:06 AM EST = +65; signal line is +61 but algorithm remains short

4/28/15; 10:31 AM EST = +49; signal line is +60

4/28/15; 10:15 AM EST = +33; signal line is +59

4/28/15; 10:00 AM EST = +49; signal line is +59

4/28/15; 9:56 AM EST = +52; signal line is +58

4/27/15; 3:52 PM EST = +38; signal line is +58