STOCK MARKET BULLISH -- LONG -- CAUTION

Keybot the Quant whipsaws back to the long side at SPX 2272 about 90 minutes ago as retail stocks rally. The whipsaw is not surprising considering the sideways choppy markets. The price action from December to now is reminiscent of the price action from February 2015 to August 2015. That was 7 months of sideways slop that ate up bulls and bears alike until the markets eventually crashed lower.

RTH 76.64 remains key with price at 76.81 creating upward lift in the stock market. Bears need RTH back under 76.64 and/or UTIL under 651.79 to send stocks lower again. Bulls need UTIL above 664 to confirm more upside and record highs ahead for the stock market.

The SPX is at the HOD at 2277. The bulls are back in control. On the last trade, which only lasted for 7 trading hours, the Keybot algorithm program loses -0.4% and the actual trading loses -1.6%. The actual trading continues to sink as the new year is underway, now down nearly -7%, but will likely correct over time. Since a whipsaw occurs, Keybot drops into the single ETF mode. The markets are far to choppy sideways which only serves to slap both bulls and bears around so leveraged ETF's must be avoided. Keybot exited TWM and entered SPY. The whipsaw action activates a timer that will remain in the single ETF mode for at least 35 days. Perhaps by then the markets will be trending again either up or down.

Stay alert for another whipsaw move  back to the short side which is definitely on the table considering the sideways choppy slop.

1/29/17; 7:00 PM EST =

1/27/17; 10:00 AM EST =

1/24/17; 11:40 AM EST = +84; signal line is +81; go long 2272; (Benchmark SPX for 2017 = +1.5%)(Keybot algo this trade = -0.4%; Keybot algo for 2017 = -3.0%)(Actual results this trade = -1.6%; Actual results for 2017 = -6.8%)

1/24/17; 9:36 AM EST = +84; signal line is +81 but algorithm remains short

1/23/17; 2:03 PM EST = +68; signal line is +81

1/23/17; 1:10 PM EST = +84; signal line is +81 but algorithm remains short

1/23/17; 10:32 AM EST = +68; signal line is +81; go short 2263; (Benchmark SPX for 2017 = +1.1%)(Keybot algo this trade = -0.8%; Keybot algo for 2017 = -2.6%)(Actual results this trade = -1.6%; Actual results for 2017 = -5.2%)