STOCK MARKET BULLISH -- LONG -- CAUTION

Keybot the Quant flips to the long side at muchtime at SPX 6908 where it started from 3 days before. The choppy whipsaw garbage slop continues just like early last year. Banks and volatility control the show.

Banks rally this morning so stocks move higher and then the buy-the-dip crowd goes insane buying any stock with a heartbeat. XLF 53.97 is the line in the sand. Price is above creating bullishness. When XLF falls back below 53.97, stocks will turn sour again.

VIX 17.11 is a line in the sand. Price is above creating bearishness in the stock market. XLF and VIX are the yin and the yang of the market these days. Either VIX drops below 17.11 to signal the all-clear for a huge upside rally, or, XLF falls below 53.97 to signal blood and carnage ahead for stocks.

On the last trade that ran for 3 days, the quant program was flat but the actual trading gains a percent because the robot was in PSQ an inverse tech ETF and that is the sector that got crushed. Sometimes the robot benefits from the ETF in the hopper and sometimes it goes the other way. For the year thus far, now into February on the back side of winter in the northern hemisphere, the benchmark SPX is up a percent. The quant program is down about -4% in 2026 and the actual trading generated by the quant is down a couple percent. Keybot the Quant exited PSQ and entered DIA.

The banks and volatility will tell you the path forward. Do not be surprised if a whipsaw occurs back to the short side over the next day or three. 

2/8/26; 7:00 PM EST =
2/6/26; 12:31 PM EST = +24; signal line is +11; go long 6908 (Benchmark SPX for 2026 = +0.9%)(Keybot algo this trade = -0.1%; Keybot algo for 2026 = -3.8%)(Actual results this trade = +1.3%; Actual results for 2026 = -1.5%)
2/6/26; 10:00 AM EST = +24; signal line is +11 but algorithm remains short
2/6/26; 9:36 AM EST = +24; signal line is +11 but algorithm remains short
2/5/26; 10:43 AM EST = +8; signal line is +11
2/5/26; 10:36 AM EST = -8; signal line is +11
2/4/26; 3:59 PM EST = +8; signal line is +12
2/4/26; 2:52 PM EST = +24; signal line is +12 but algorithm remains short
2/4/26; 1:29 PM EST = +8; signal line is +12
2/4/26; 12:43 PM EST = -8; signal line is +12
2/4/26; 12:38 PM EST = +8; signal line is +14
2/4/26; 12:00 PM EST = +24; signal line is +14 but algorithm remains short
2/4/26; 11:49 AM EST = +8; signal line is +14
2/4/26; 11:35 AM EST = +24; signal line is +14 but algorithm remains short
2/3/26; 12:34 PM EST = +8; signal line is +14; go short 6904 (Benchmark SPX for 2026 = +0.9%)(Keybot algo this trade = -1.0%; Keybot algo for 2026 = -3.7%)(Actual results this trade = -1.2%; Actual results for 2026 = -2.8%)