STOCK MARKET BEARISH -- SHORT -- CAUTION -- TURN MAY BE IMMINENT

Keybot the Quant remains short, surprisingly, as it continues to champ at the bit to go long for the last three trading days. The quant idles sideways without printing any numbers since Tuesday except for the two prescheduled numbers. It is bazaar behavior (the robot would have been expected to flip long by now) but these are bazaar times. If the SPX moves above 7420-ish, Keybot the Quant will likely flip long, so the watch continues.

The Iran War happy talk from King Donnie Trumpski pops stocks higher as evidenced by every tweet and media announcement. As the Strait of Hormuz goes, so goes the stock market.

But the robot only sees 1's and 0's and there are interesting things happening under the surface. The quant wants to flip long with the algo number 6 points above the signal line but the internal parameters will not fully latch to permit the move. The SPX price action is a problem even though the S&P 500 prints a new all-time high at 7401.50 and new all-time closing high at 7398.93. The "SPX 7.4K" hats are passed out but they are colored beanie caps with a miniature propeller spinning on top.

There are about a dozen times the robot was a hair from flipping long over the last 3 days but alas, it has not yet pulled the trigger. Shoot to Thrill. The bulls enjoy an ongoing happy rally and the expectation would be for the quant to finally flip long maybe on Monday? Either that or perhaps things fall apart?

The algorithm identifies utilities, retail stocks, banks and volatility as the key stock market drivers currently. Copper prices jump higher on global supply concerns so Doctor Copper jumps off the gurney and starts dancing a jig pumping stocks higher. While everyone is partying, utes, retail stocks and banks weaken and are on the verge of failing into the bear camp. Next week may be historic. What will happen? Strange Days like Jim sang.

5/10/26; 7:00 PM EST =
5/8/26; 10:00 AM EST = +69; signal line is +63 but algorithm remains short
5/8/26; 9:00 AM EST = +69; signal line is +62 but algorithm remains short
5/5/26; 9:38 AM EST = +69; signal line is +62 but algorithm remains short