Keybot the Quant remains short after a crazy Friday morning. The choppy pig slop continues. Copper, volatility and the banks are running the show as evidenced by the Friday circus. With the bigtime bullishness out of the gate on Friday morning, you would think the quant would flip long but it did not mainly because the SPX was negative.
As the morning played out, copper failed, then volatility spiked placing the bears back on an even keel. At munch time, the banks threw in the towel guaranteeing a bad day on Wall and Broad.
The bears are leading the circus parade with the algo number 17 points below the signal line. Retail stocks ran higher last week led by Walmart and its army of ignorant incompetent shelf-stockers that will run you over with one of those big awkward carts. Bears need XRT below 85.00 to produce more downside negativity for stocks. NYA below 23425 will also create significant negativity and equity carnage but price remains buoyant at 24K.
Bulls need to do what they did out of the gate on Friday. That starts with sending the VIX below 16.17 preferably in the early hours US East Coast time to indicate that up is the path ahead for stocks. Bulls are screwed if the VIX remains above 16.17.
Bulls need CPER above 39.75 and XLF above 55.52. Check out the price of XLF. Yes, it is 55.52. The banks ended the week smack-dab on top of the bull/bear line in the sand called out by the robot. Obviously, as banks go, so goes the stock market.
Bulls are trying to pump utilities higher it is really a flight to perceived safety the last few days. UTIL is at 1082 and needs to move above 1114 to provide bull strength for the stock market.
The stage is set. Bears need weaker retail stocks so check Walmart to see what it is doing. Bulls need lower volatility and stronger copper and banks. Bulls likely need for 2 of the 3 parameters turn bullish to be able to flip the model long, or, one parameter may turn bullish but it will need to jog above and below its line in the sand a couple times before it would be in position to set the quant up to go long.
Keybot the Quant prints two prescheduled numbers this week one on Tuesday before the opening bell and the other on Friday morning shortly after the opening bell. Saturday and Sunday are good days to hang out in the blues clubs. Everybody's Jugglin'. The blues masters. Some great harp players. If you cannot feel a groove from that you're dead inside. Get up and move around.
10/25/26;
7:00 PM EST =
10/23/26;
10:00 AM EST =
10/20/26;
9:00 AM EST =
10/18/26;
7:00 PM EST = -29; signal line
is -12
10/16/26;
10:29 AM EST = +17; signal line
is -11 but algorithm remains short
10/16/26;
10:09 AM EST = +1; signal line
is -12 but algorithm remains short
10/16/26;
9:36 AM EST = +17; signal line
is -13 but algorithm remains short
10/16/26;
3:21 AM EST = -15; signal line
is -13
10/15/26;
9:36 AM EST = -29; signal line
is -13
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