Sunday, April 7, 2019


Keybot the Quant remains long. The stock market bulls are singing songs and carryin' on. The quant idles along all last week only printing one number. Keybot remains pegged at the maximum +100 reading. These are truly epic times for markets and economies. The highs made in the stock market may potentially not be seen for many years forward.

The algo number is 19 points above the signal line so the bulls are in full control. Banks and copper remain the two key parameters that Keybot continues tracking with interest. Bears have zero hope unless the financials and copper move lower.

Bears need XLF below 25.90 (now at 26.60) and/or CPER below 17.87 (now at 18.10). So a drop of -1.3% in copper will create problems for the stock market. XLF would need to drop -2.6% (the banks had a big week last week with XLF finishing up +3.5%).

If either parameter turns bearish, consider the imminent turn to the downside to be in play. If both parameters turn bearish, and the SPX moves below 2883, Keybot would likely flip short. For now, however, the bulls are cruising along without a care in the world. Keybot prints a pre-scheduled number this week on Friday morning.

4/14/19; 7:00 PM EST =
4/12/19; 10:00 AM EST =
4/7/19; 7:00 PM EST = +100; signal line is +81
4/5/19; 9:00 AM EST = +100; signal line is +79
4/1/19; 9:36 AM EST = +100; signal line is +78

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