Keybot the Quant remains long as the King Donnie roller coaster ride continues. The orange head imposes tariffs on the EU while also dissing Apple sending stocks lower late last week. Then he reverses his EU threats when Sunday night futures open to bounce stocks this week. Trump's cronies are making millions being told the moves ahead of time. The courts now rule that many of the tariff decrees must be placed on hold so stocks feel more upside joy today with S&P futures up a hundo points.
The quant is champing at the bit to go short (the algo number is 5 points below the signal line) but will not yet make the move since the internal parameters will not latch. If the SPX drops below 5882, Keybot the Quant will likely flip short. It is that easy for the bears. All they need is about 7 negative points to begin stock market trouble.
But the bulls will not have it. S&P futures explode higher due to tariffs on hold by the courts, and NVDA earnings joy, so it appears that the bears are left at the altar again, for now.
While traders are giddy and buying stocks, copper slumps. It is not good going forward if Dr Copper is in the downstairs bathroom puking. The SPX may reverse its early gains today; time will tell.
Watch utilities that may be coming back into the picture. If UTIL loses the 1006-1007 level this week, there would be a high probability that the stock market may fall into a mini-crash event. It's fun. Stay alert. Do not be complacent like every trader on Wall Street today.
Also, keep an eye on the VIX 22.16 bull/bear line in the sand. Bulls are probably okay as long as the VIX remains below 22.16 but big trouble begins if she runs above 22.16. The market is Livin' On A Prayer. The bulls are tryin' to hold on to what they got.
6/1/25;
7:00 PM EST EOM =
5/30/25;
10:00 AM EST =
5/28/25;
9:36 AM EST = +30; signal line
is +35 but algorithm remains long
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