STOCK MARKET BULLISH -- LONG -- CAUTION

Keybot the Quant remains long after the crazy ride last week but the algo number is only 4 measly points above the signal line. That should continue this week. The bulls pumped copper at Friday's opening bell so the fix was in and the week would end on a positive note, and it did.

Utilities could not get above 1152 on Friday to lock in more upside joy for stocks and this number is now meaningless and replaced with 1174 for all of this week a harder number to reach.

Let's call Monday a cage match with Doctor Copper versus Ute. Utilities and copper enter the cage but only one will exit. UTIL, 1174, UTIL 1121 and CPER 37.79 are the lines in the sand to begin the week.

UTIL, or DJU, begins at 1150 so 24 upside points will guarantee a bull victory ahead and new all-time record highs for the stock market. However, a drop of 29 points will open the gates to Hell for stocks.

Copper is creating bullishness for equities with CPER at 37.99 above the 37.79 line in the sand. Will copper reverse to the downside out of the gate on Monday the reversal move of what it did on Friday morning? Copper futures trade overnight so watch to see if a -0.5% pullback is occurring, or not. Stocks will be in trouble if you see copper trading down more than a half percent.

The stage is set. Bulls win by keeping copper elevated and pushing UTIL above 1174. Bears win by keeping utilities week, and moving down towards UTIL 1121, and pushing CPER below 37.79. If copper turns bearish, consider the imminent turn to be in play for the quant, and then if the SPX drops below 7508, Keybot the Quant will likely flip short.

The stock market is a mess right now extremely erratic and unstable while market participants remain over the top bullish wanting to buy any dip. There is likely more drama to come in the week ahead. Chips are creating bullishness so watch that sector for weakness. Same-o with retail stocks so watch for any weakness there. Commodities are creating negativity in stocks as oil prices drop (oil companies retreat) but they are headed higher again in recent days. If pressure rains down on stocks, will the dip-buyers show up? Who'll Stop the Rain? Confusion on the ground.

7/19/26; 7:00 PM EST =
7/17/26; 10:00 AM EST =
7/17/26; 9:00 AM EST =
7/12/26; 7:00 PM EST = +50; signal line is +46
7/10/26; 9:36 AM EST = +50; signal line is +45
7/9/26; 3:33 PM EST = +34; signal line is +45 but algorithm remains long