Monday, December 7, 2020


Keybot the Quant remains long. The stock market is pegged at new record highs since traders believe the fiscal stimulus bill will be announced any minute. The SPX prints a record high at 3699.20 and record closing high at 3699.12 both on Friday, 12/4/20, after the US Monthly Jobs Report was a miss. Traders celebrate poor data since the Fed will have to keep printing easy money which sends stocks higher. The bulls are in charge with the algo number 16 points above the signal line.

If the bears start to growl it will likely be with weaker retail stocks and utilities and higher volatility. Bears need RTH below 154.20, UTIL below 831 and/or VIX above 25.28, respectively. Any one of these parameters will end the upside rally and the bears will begin clawing themselves forward. The caution flag is out to begin the week.

The bulls are partying as long as these three parameters remain bullish. AMZN is in RTH so keep an eye on it. Keybot prints one pre-scheduled number this week on Friday morning.

12/13/20; 7:00 PM EST =
12/11/20; 10:00 AM EST =
12/6/20; 7:00 PM EST = +72; signal line is +56
12/4/20; 9:00 AM EST = +72; signal line is +53
11/30/20; 7:00 PM EST EOM = +72; signal line is +51

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