Friday, July 24, 2020


Keybot the Quant remains long with the bulls in charge with the algo number 12 points above the signal line. Keybot was active yesterday printing 8 numbers. The action is in the utilities and it was a bigtime battle at UTIL 835.57 as the quant told you ahead of time. UTIL price remains in the same place as yesterday above 827.83 creating bullishness for equities while also below 835.57 creating negativity in stocks. One side or the other will win.

Bulls need UTIL above 835.57 and the skies will open up to receive the stock market floating higher and higher.

Bears need UTIL below 827.83 to create broad stock market selling activity and to position the quant to go short. The stakes are higher than that. Bears must end today at UTIL 824 or lower to prove that stocks will be weak next week. Bears will also benefit from NYA dropping below 12470 and/or GTX below 1690. If any one of these three parameters turn bearish, and the SPX drops below the 3223 palindrome, the algo will likely flip short. Watch NYA closely since a drop back below 12470 will signal serious negativity for the stock market into year-end. Ditto if the utilities keep trending lower.

The bears have it on a silver platter if they want it. S&P futures are down -20 with the VIX at 27.80. The SPX begins the trading day at 3236 so a -20 point drop would place the S&P 500 at 3216 satisfying part of the above criteria for the robot to flip short. It looks like it all depends on UTIL 827.83 and/or NYA 12470.

7/26/20; 7:00 PM EST =
7/23/20; 1:48 PM EST = +56; signal line is +44
7/23/20; 1:36 PM EST = +72; signal line is +43
7/23/20; 1:25 PM EST = +56; signal line is +41
7/23/20; 1:11 PM EST = +72; signal line is +39
7/23/20; 12:49 PM EST = +56; signal line is +38
7/23/20; 12:27 PM EST = +72; signal line is +37
7/23/20; 12:02 PM EST = +56; signal line is +36
7/23/20; 11:43 AM EST = +72; signal line is +34
7/22/20; 12:54 PM EST = +56; signal line is +32

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