STOCK MARKET BEARISH -- SHORT -- CAUTION

Keybot the Quant remains short as the bulls recover from the Friday drubbing. The algo number is only 4 points below the signal line so the caution flag is out. Bulls need to push UTIL above 574 to signal the all-clear for the rally and likely flip Keybot to the long side. Bears will stop the move higher in stocks with either JJC 31.86, VIX 15.78 and/or NYA 10845.

For the SPX starting at 2079, the bulls need to push above 2083.50 to accelerate the upside. Bears need to push under 2072 to accelerate the downside. A move through 2073-2083 is sideways action.

3/13/15; 10:00 AM EST =

3/9/15; 11:05 AM EST = +52; signal line is +56

3/9/15; 9:36 AM EST = +36; signal line is +56

3/8/15; 7:00 PM EST = +22; signal line is +57

STOCK MARKET BEARISH -- SHORT

Keybot the Quant remains short moving into the new week of trading. The bulls need to push NYA above 10845 and/or UTIL above 573.07 to stop the market selling and mount a substantive recovery rally. If both turn bullish, and the SPX prints above 2101, Keybot will likely flip long. The bears need either VIX above 15.80 or XLF under 24.12 to create more selling pressure in stocks.

For the SPX starting at 2071, the bulls need to push above 2101 to accelerate the upside. The bears need to push under 2067 to accelerate the downside. A move through 2068-2100 is sideways action. The bears are driving the bus to begin the week. If either NYA or UTIL turn bullish consider the caution flag to be in play. If both turn bullish consider an imminent turn back to the long side to be in play. At the opening bell, watch NYA 10845 like a hawk since it will tell you the broad market direction answer. NYA begins at 10842 only three bucks on the bear side. If NYA turns bullish stocks will be buoyant and the bears will be unable to push lower.

3/15/15; 7:00 PM EST =

3/13/15; 10:00 AM EST =

3/8/15; 7:00 PM EST = +22; signal line is +57

3/6/15; 3:39 PM EST = +22; signal line is +58

STOCK MARKET BEARISH -- SHORT

Keybot the Quant remains short through the weekend. The algorithm was active today printing five numbers including the pre-scheduled number before the opening bell. The bears are cruising with the algo number 36 points below the signal line, however, in these markets anything can change quickly. The late day weakness was locked in by the NYA losing the 40-week MA at 10845. This is also a cyclical market signal that indicates the stock market has fallen into a cyclical bear market pattern. The problem for bears is that NYA is only three measly points below and on Monday morning the bulls can easily save the day and reverse the negativity.

On Monday, the NYA is the most important parameter at the opening bell; utilities, volatility and financials are also important. Levels of interest and Monday's projections can be set up after the Sunday pre-scheduled number prints tomorrow. Bulls will need to push the NYA Index higher and utilities higher to save the day. Bears will need higher volatility and weaker financials to continue the market selling.

3/8/15; 7:00 PM EST =

3/6/15; 3:39 PM EST = +22; signal line is +58

3/6/15; 3:08 PM EST = +36; signal line is +59

3/6/15; 2:44 PM EST = +22; signal line is +59

3/6/15; 10:42 AM EST = +36; signal line is +59

STOCK MARKET BEARISH -- SHORT

Keybot the Quant remains short. The pre-scheduled number prints before the opening bell and one number prints after the bell. UTIL fails at 573 so markets flush lower. Bulls need UTIL above 573 or they will remain in trouble. Market bears will receive more fuel with VIX above 15.76 and/or XLF under 24.12 and/or the NYA Index under 10845.

3/8/15; 7:00 PM EST =

3/6/15; 10:42 AM EST = +36; signal line is +59

3/6/15; 9:00 AM EST = +52; signal line is +60

3/3/15; 11:33 AM EST = +52; signal line is +60; go short 2104; (Benchmark SPX for 2015 = +2.2%)(Keybot algo this trade = +2.4%; Keybot algo for 2015 = -1.3%)(Actual results this trade = +2.5%; Actual results for 2015 = -4.8%)

STOCK MARKET BEARISH -- SHORT -- CAUTION

Keybot the Quant remains short moving into the Friday session and today is a photo-copy of yesterday. The algorithm did not print any numbers yesterday. The pre-scheduled number prints in a couple of hours. Market bulls need to push copper higher to begin an upside recovery rally. Watch JJC 32.01 the bull-bear line in the sand. Copper is trading lower this morning. Bears win if JJC stays under 32.01. Bulls win above JJC 32.01.

Bears will receive more downside fuel if VIX moves above 15.76 and/or if XLF drops under 24.11. Bulls receive upside juice with JJC 32.01 and/or UTIL above 596. If JJC or UTIL turn bullish, either one will do, and the SPX moves above 2104, Keybot will likely flip to the long side.

The algorithm identifies UTIL 596 as a key bull-bear level but this expires today and is replaced with UTIL 599.70, thus, a harder upside target for bulls to achieve. The UTIL 599.70 level is in play for every day next week so watch where UTIL closes at this afternoon in relation to 599.70. Another key level is UTIL 573 which will create strong downside selling pressure for stocks if it fails. Consider UTIL 573 to represent a trap-door in the stock market where a potential large flush downward will occur quickly for the stock market if the UTIL 573 fails. UTIL begins at 588.

For the SPX starting at 2101, the bulls need to touch the 2104 handle, only three points higher, and bingo, the upside will accelerate several more handles to 2110. The bears need to push under 2095 to accelerate the downside into the 2080's. A move through 2096-2103 is sideways action but unlikely since the range is tight. Bulls will win above 2103-2104 and bears will win under 2095-2096.

3/8/15; 7:00 PM EST =

3/6/15; 9:00 AM EST =

3/3/15; 11:33 AM EST = +52; signal line is +60; go short 2104; (Benchmark SPX for 2015 = +2.2%)(Keybot algo this trade = +2.4%; Keybot algo for 2015 = -1.3%)(Actual results this trade = +2.5%; Actual results for 2015 = -4.8%)

STOCK MARKET BEARISH -- SHORT -- CAUTION

Keybot the Quant remains short moving into the Thursday session. Market bulls need to push copper higher to begin an upside recovery rally. Watch JJC 32.01 the bull-bear line in the sand. Copper is trading higher this morning setting up a big fight at JJC 32.01 today to determine the winner moving forward. Bears win if JJC stays under 32.01. Bulls win above JJC 32.01.

Bears will receive more downside fuel if VIX moves above 15.76 and/or if XLF drops under 24.11. Bulls receive upside juice with JJC 32.01 and/or UTIL above 596. If JJC or UTIL turn bullish, either one will do, and the SPX moves above 2108, Keybot will likely flip to the long side.

For the SPX starting at 2099, the bulls need to touch the 2108 handle and bingo, the upside will accelerate several more handles well above 2110. The bears need to push under 2088 to accelerate the downside. A move through 2089-2107 is sideways action.

3/8/15; 7:00 PM EST =

3/6/15; 9:00 AM EST =

3/3/15; 11:33 AM EST = +52; signal line is +60; go short 2104; (Benchmark SPX for 2015 = +2.2%)(Keybot algo this trade = +2.4%; Keybot algo for 2015 = -1.3%)(Actual results this trade = +2.5%; Actual results for 2015 = -4.8%)

STOCK MARKET BEARISH -- SHORT -- CAUTION

Keybot the Quant is on the short side moving into the Wednesday trading. The battle is between utilities and copper. Bulls need JJC above 32.00 and/or UTIL above 596 to signal the all-clear and begin a rally move higher in the stock market. Bears will receive more downside energy with either the VIX above 15.75, XLF below 24.15 or UTIL under 573.30. If all the parameters remain status quo, stocks will move sideways with a slight upward bias.

For the SPX starting at 2108, the bulls need to touch the 2116 handle and bingo, the upside will run strongly higher into the 2120's. The bears need to push under 2098 to accelerate the downside. A move through 2099-2115 is sideways action for Wednesday. So the bulls need an 8-point boost to claim victory and the bears need a 10 point drop to claim victory. S&P futures are -7 at this writing about five hours before the opening bell. Copper is trading slightly lower.

3/8/15; 7:00 PM EST =

3/6/15; 9:00 AM EST =

3/3/15; 11:33 AM EST = +52; signal line is +60; go short 2104; (Benchmark SPX for 2015 = +2.2%)(Keybot algo this trade = +2.4%; Keybot algo for 2015 = -1.3%)(Actual results this trade = +2.5%; Actual results for 2015 = -4.8%)

STOCK MARKET BEARISH -- SHORT -- CAUTION

Keybot the Quant flips to the short side today shortly before lunch at SPX 2104. The weakness in utilities and copper are creating market weakness. Bulls need to push JJC above 32.01 to stop the market selling. Bears need either UTIL under 573 or XLF under 24.15 to create the next leg lower in equities. If UTIL 573 fails, consider that as a trap-door in markets and a large flush lower in stocks will occur in quick order.

The Keybot the Quant algorithm program and the actual trading both gain +2.5% on the last trade. The benchmark SPX is up +2.2% this year. Keybot exits SPY and enters SDS. The 35-day single ETF timer expires so the algo is back to the double ETF's again. The bears are driving the bus. As always, stay alert for a whipsaw. Watch JJC 32.01 since it will tell you if markets continue lower or if the bulls can stage a comeback rally. JJC is currently printing 31.75.

3/8/15; 7:00 PM EST =

3/6/15; 9:00 AM EST =

3/3/15; 11:33 AM EST = +52; signal line is +60; go short 2104; (Benchmark SPX for 2015 = +2.2%)(Keybot algo this trade = +2.4%; Keybot algo for 2015 = -1.3%)(Actual results this trade = +2.5%; Actual results for 2015 = -4.8%)

3/3/15; 9:36 AM EST = +52; signal line is +61 but algorithm remains long

3/2/15; 9:36 AM EST = +68; signal line is +61

3/1/15; 7:00 PM EST EOM = +84; signal line is +61

2/27/15; 10:33 AM EST = +84; signal line is +59

2/27/15; 10:00 AM EST = +68; signal line is +57

2/27/15; 9:48 AM EST = +68; signal line is +56

2/26/15; 9:36 AM EST = +84; signal line is +54

2/24/15; 10:00 AM EST = +68; signal line is +52

2/23/15; 9:36 AM EST = +70; signal line is +51

2/22/15; 7:00 PM EST = +54; signal line is +50

2/19/15; 12:22 PM EST = +54; signal line is +50

2/19/15; 12:03 PM EST = +70; signal line is +49

2/19/15; 11:08 AM EST = +54; signal line is +47

2/18/15; 2:17 PM EST = +70; signal line is +45

2/18/15; 9:00 AM EST = +54; signal line is +43

2/15/15; 7:00 PM EST = +54; signal line is +42

2/13/15; 12:14 PM EST = +54; signal line is +41

2/13/15; 10:32 AM EST = +70; signal line is +40

2/13/15; 10:00 AM EST = +54; signal line is +37

2/13/15; 9:40 AM EST = +54; signal line is +36

2/12/15; 9:36 AM EST = +70; signal line is +35

2/10/15; 9:36 AM EST = +56; signal line is +33

2/10/15; 9:35 AM EST = +40; signal line is +32

2/10/15; 9:32 AM EST = +26; signal line is +30 but algorithm remains long

2/9/15; 9:36 AM EST = +40; signal line is +30

2/8/15; 7:00 PM EST = +56; signal line is +29

2/6/15; 12:15 PM EST = +56; signal line is +28

2/6/15; 10:03 AM EST = +70; signal line is +27

2/6/15; 9:00 AM EST = +56; signal line is +25

2/5/15; 9:59 AM EST = +56; signal line is +23

2/5/15; 9:49 AM EST = +40; signal line is +23; go long 2055; (Benchmark SPX for 2015 = -0.2%)(Keybot algo this trade = -0.4%; Keybot algo for 2015 = -3.7%)(Actual results this trade = -0.5%; Actual results for 2015 = -7.3%) [E: 201501260931A]

STOCK MARKET BULLISH -- LONG -- CAUTION

Keybot the Quant remains long moving into the Tuesday session. The bulls pushed copper higher with JJC up to 32.28 creating the afternoon stock market rally. The bull-bear line in the sand is JJC 32.01. UTIL is under the 596 level in play all this week so that creates market negativity. The algo is now tracking UTIL 573.33 as another bull-bear level of import. UTIL is at 583.20. Thus, bulls need UTIL above 596 and/or GTX above 3390 to receive upside fuel. Both of these appear difficult so the stock market upside may be limited.

Bears need to push UTIL under 573.33 and/or JJC under 32.01 to take control of equities. If either UTIL drops under 573.33 or JJC under 32.01, either one will do, and the SPX drops under 2105, Keybot will likely flip short. If either of these two parameters turn bearish consider the imminent turn notation to be in play. If UTIL stays above 573, and JJC above 32.01, status quo, equities will float sideways to sideways higher.

For the SPX starting at 2117, the bulls need less than one point higher to accelerate a move several handles higher so watch to see if the S&P futures are positive overnight which will point the way to bull victory on Tuesday. The bears need to push under 2105 to accelerate the downside. A move through 2106-2116 is sideways action.

3/6/15; 9:00 AM EST =

3/2/15; 9:36 AM EST = +68; signal line is +61

STOCK MARKET BULLISH -- LONG -- CAUTION

Keybot the Quant remains long. The bulls throw a euphoric party with the Nasdaq hitting 5000 not seen in 15 years. Treasury rates jump higher so utilities are in complete collapse. UTIL tumbles to 579 which is an ominous signal for markets for the weeks ahead. Copper remains buoyant so the bulls are able to print new highs in stocks. JJC is at 32.13 remaining above the 32.00 bull-bear line in the sand identified by the algorithm albeit by 13 pennies.

Watch copper like a hawk; it is running the show today and the major influence on stock market direction. If JJC drops under 32, markets will begin selling off. If JJC loses 32, and the SPX drops under 2104, and both remain under, Keybot will likely flip short. Hence, the caution appears in the title line. If JJC loses 32 consider the imminent turn status to be in play. So despite the euphoric equity highs, the market metrics are shaky. If copper moves strongly higher the bulls will be creating further new highs in equities.

The SPX is battling at the 2113-2114 area trying to create an upside acceleration but cannot yet push up through; the bears are maintaining this level as a resistance ceiling. JJC 32.00 determines the market directional answer. JJC is currently printing at 32.19 so the bulls are now 19 cents on the good side. Bears need to push copper lower or they got nothing.

3/8/15; 7:00 PM EST =

3/6/15; 9:00 AM EST =

3/2/15; 9:36 AM EST = +68; signal line is +61

3/1/15; 7:00 PM EST EOM = +84; signal line is +61

February Publication of the Daily Chronology of Global Markets and Word Economics 2015-02 Available from Amazon

The February publication of the Daily Chronology of Global Markets and World Economics 2015-02 is available through Amazon (AMZN). February is another wild month for markets. Stocks were trading choppy sideways chewing up bulls and bears but the bulls win out in February catapulting markets higher on the Ukraine ceasefire, Greece bailout and central banker happy talk. Deflation remains rampant in Europe. Global stock indexes are printing record highs with bond yields at record lows. One-third of Europeans bonds are trading negatively!

The West Coast dock slowdown created angst. Chinese rings in the lunar New Year; the "Year of the Sheeple." Net neutrality is approved changing the internet forever; the government steps in to fix problems that do not exist. The Holy War waged by ISIS Islamist radicals against Christians and Jews continues. Social unrest and wars continue around the world. Ukraine fighting is ongoing despite the ceasefire. ISIS Islamist radicals are performing genocide against Christians and Jews while the world looks on.

The chronology records economic history in real time preventing revisionist tampering in future years. Many of the same asset managers telling everyone to go long the market in 2008 are repeating the same mantra these days. Their quotes and words are recorded. Perhaps they are correct with their market cheer leading; perhaps they are not.  If a multi-year top prints during the weeks ahead, the chronology serves as the most accurate accounting of the market topping process. The chronology is the most reliable and easy to understand source on the web or in hard print explaining global markets.

As always, all monthly publications are available from the links in the left margin. We are living through historic stock market and economic times. The daily chronology is the most accurate accounting on how a potential epic stock market top forms in real-time. The detailed chronology prevents the writing of revisionist history in the future.The monthly publications are compatible with most electronic devices and include an extensive Business Acronym List and Ticker Symbol List. The Acronym List is the most comprehensive list available on the internet. The chronology is not available in hard copy and only distributed around the world electronically.

Daily Chronology of Global Markets and World Economics February 2015-02

STOCK MARKET BULLISH -- LONG

Keybot the Quant remains long moving into the new week of trading. UTIL begins at 594.17 below the important 596 level that is in play for every day this week. This will provide the bears an edge but if UTIL jumps higher at the opening bell above 596 the fix is in and the bulls are going to run stocks higher.

JJC begins at 32.19 above the important 31.98 bull-bear level identified by the algo. This creates market lift and the strength in copper last week prevented equities from moving lower. Watch copper overnight into Monday for an early tell on market direction. If copper is weak the bears are in good shape especially with UTIL under 596. If copper is trading higher overnight, JJC will move higher and the bears will be slapped in the face.

For the SPX starting at 2104.50, the bulls need to push 8 points higher, above 2112.50 and bingo, the upside will accelerate into a big bull party. The market bears have an easier path only needing to push under the 2104 level, less than one point lower, and boom, the SPX will accelerate lower likely in concert with falling utilities and copper. A move through 2104-2112 is sideways action to begin the week. The bulls continue to have the wind at their backs with the algo number 23 points above the signal line. The graphical printout for the algorithm is at its heart an oscillator (a chart that moves above and below a mid-point similar to RSI and MACD indicators on stock charts) so the +84 number above the 80 level indicates an overbot condition.

3/8/15; 7:00 PM EST =

3/6/15; 9:00 AM EST =

3/1/15; 7:00 PM EST EOM = +84; signal line is +61

2/27/15; 10:33 AM EST = +84; signal line is +59

STOCK MARKET BULLISH -- LONG

Keybot the Quant remains long through the weekend. The bulls push copper higher with JJC above 31.98 keeping equities buoyant. UTIL closes under 596 which will create market negativity. Monday will be a battle of copper versus utilities.

3/1/15; 7:00 PM EST EOM =

2/27/15; 10:33 AM EST = +84; signal line is +59

2/27/15; 10:00 AM EST = +68; signal line is +57

STOCK MARKET BULLISH -- LONG

Keybot the Quant remains long the market. The bulls receive upside strength from stronger copper. The algo is tracking JJC 31.98 and the weakness after the bell occurs with copper dropping under this key level. Use this as the main rudder for market direction to end the week. Stocks move higher with JJC above 31.98 and equities move lower with JJC under 31.98.  JJC is currently printing........ wait for it......... 31.98. So this pivot tells you which direction stocks go today.

Note that utilities drift lower. The UTIL 596 level is key for all of next week so watch to see where price closes today. If UTIL is under 596, stocks will be weaker come Monday Morning. If UTIL finishes above 596, the market bulls will have a big party next week. Keybot prints one number yesterday and today prints two numbers thus far with one hour of trading completed. The bulls remain in control with the algo number 11 points above the signal line. As copper goes, so goes the markets.

3/1/15; 7:00 PM EST EOM =

2/27/15; 10:00 AM EST = +68; signal line is +57

2/27/15; 9:48 AM EST = +68; signal line is +56

2/26/15; 9:36 AM EST = +84; signal line is +54

2/24/15; 10:00 AM EST = +68; signal line is +52

STOCK MARKET BULLISH -- LONG

Keybot the Quant remains long moving into the Thursday session. The algo idled along on Wednesday without printing any numbers. Note how UTIL dropped today to 598 but bears would need a move under 586 on Thursday or Friday, or a move under 596 any day next week, to create negativity in equities. Bears also need either VIX above 16.20 or XLF under 24.10 but these parameters are firmly in the bull camp creating stock market lift.

The market bulls need higher copper and commodities to receive the blessing for higher equities ahead. Bulls need JJC above 31.95 now at 31.66 only about 30 cents away. If JJC moves above 31.95, the bulls lock in upside victory with the SPX above 2120 and running well into and through the 2120's. So watch copper closely.

For the SPX starting at 2114 on Thursday, the bulls need to touch the 2120 handle and the upside will accelerate (watch to see if JJC will provide fuel above 31.95). The bears need to push under 2110 to accelerate the downside. A move through 2111-2119 is sideways action for Thursday. As a general rule, it looks like 'as copper goes, so goes the markets'.

3/1/15; 7:00 PM EST EOM =

2/27/15; 10:00 AM EST =

2/24/15; 10:00 AM EST = +68; signal line is +52

STOCK MARKET BULLISH -- LONG

Keybot the Quant remains long as Wednesday trading is underway. Nefarious computer bugs are creating technical issues this morning but the systems are fending off the attacks and stabilizing. The bulls remain in the driver's seat. Bulls need copper and commodities to strengthen to send the stock market higher and neither are cooperating as yet. Bears need VIX above 16.20 and/or XLF under 24.10 but both remain strong.

At the Friday close and for all of next week, UTIL 596 will be a very important level. UTIL is above 600 so bulls are receiving upside stock market juice from the buoyant utilities. Stocks will weaken if UTIL leaks below 596 next week but has to fall under 586 for this week to cause market weakness.

For the SPX starting at 2115, the bulls need to touch the 2118 handle and bingo, price will be above 2120 in an instant. The bears must push under 2106 to create a downside acceleration. A move through 2107-2117 is sideways action for Wednesday. The bulls are in charge.

3/1/15; 7:00 PM EST EOM =

2/27/15; 10:00 AM EST =

2/24/15; 10:00 AM EST = +68; signal line is +52

2/23/15; 9:36 AM EST = +70; signal line is +51

STOCK MARKET BULLISH -- LONG

Keybot the Quant remains long as the bulls are on cruise control. Financials run higher and volatility drops like a stone creating new all-time stock market highs. Copper is adding further strength producing a dramatic turnaround ot the upside. JJC is up to 31.82 and the algo identifies the 31.97 level as a critical bull-bear line in the sand. If JJC moves above 31.97, the SPX will launch above 3120 and higher. So the battle ground is copper, at JJC 31.97, which will tell you if the upside stock market rally has far stronger legs, or, if the bulls are ready to run out of gas.

2/27/15; 10:00 AM EST =

2/24/15; 10:00 AM EST = +68; signal line is +52

2/23/15; 9:36 AM EST = +70; signal line is +51

STOCK MARKET BULLISH -- LONG

Keybot the Quant is long moving into the Tuesday session. The algo printed one number yesterday after the opening bell. It was surprising the bulls could not make further upside progress. The bears hold the SPX 2110-2111 ceiling. The bulls need stronger copper and commodities to gain further upside but the performance in these raw material markets remains lackluster. Bears need either XLF under 24.10 and/or VIX above 16.25 or they got nothing. The stock market will only begin and sustain a downward path if one of these two parameters fail.

For the SPX starting at 2110, the bulls only need a smidge of green in the futures and boom, the upside will accelerate several handles. S&P futures are flat and non-committal about an hour before the opening bell. The bears need to push under 2103 to accelerate the downside. A move through 2104-2110 is sideways action for Tuesday.

Watch financials and volatility. If both the XLF and VIX turns bearish, and the SPX drops under 2103, Keybot will likely flip short. For now, bulls are fine with no worries but if financials or volatility turns bearish as described, consider the caution and imminent turn flags to be waving. Keybot prints a pre-scheduled number this morning shortly after the opening bell. The algo number is 19 points above the signal line.

2/27/15; 10:00 AM EST =

2/24/15; 10:00 AM EST =

2/23/15; 9:36 AM EST = +70; signal line is +51

2/22/15; 7:00 PM EST = +54; signal line is +50

STOCK MARKET BULLISH -- LONG

Keybot the Quant is long moving into the new week of trading. UTIL is at 600 and will print above the important UTIL 586 level, in play for the entire week, which creates market bullishness. Bears got nothing unless they move UTIL below 586 and/or VIX above 16.60. Otherwise, stocks will float sideways to sideways higher.

For the SPX starting at 2110, the bulls need to touch the 2111 handle and an upside acceleration will occur beginning to target towards 2020+. So watch to see if there is a smidge of positivity in the S&P futures to create the bull party. The bears need to push under 2085 to accelerate the downside. A move through 2086-2110 is sideways action for Monday. The bulls are in control. Keybot prints two pre-scheduled numbers this week one on Tuesday morning and the other on Friday morning. EOM is Friday.

3/1/15; 7:00 PM EST EOM =

2/27/15; 10:00 AM EST =

2/24/15; 10:00 AM EST =

2/22/15; 7:00 PM EST = +54; signal line is +50

2/19/15; 12:22 PM EST = +54; signal line is +50

STOCK MARKET BULLISH -- LONG

Keybot the Quant remains long through the weekend. The algo did not print any numbers on Friday. Stocks dropped like a rock at the opening bell but you saw that the VIX did not move above 16.60 so the bears had nothing. In addition, did you see XLF come down to test the 24.00-24.10 area identified by the algorithm ahead of time? Yes, the XLF came down and bounced telling you the bears had nothing. Stocks recover all day Friday as volatility dropped and utilities move higher. The SPX ran above 2102 so bingo, price jumped to the 2110 level.

The bears suffer another big blow since UTIL finished at 600. That number was good for the bears last week with the bull-bear line at 603 but next week the bull-bear line in the sand is 586 for all five days. Therefore, at Monday morning's opening bell, the bulls will immediately receive a thrust of positivity with the higher utilities since UTIL will be above 586. Bears need to push utes lower and volatility higher

Next week volatility and utilities remain the key market direction drivers (identified by Keybot) to begin the week. Exact levels can be identified once the Sunday pre-scheduled number prints tomorrow.

2/22/15; 7:00 PM EST =

2/19/15; 12:22 PM EST = +54; signal line is +50

STOCK MARKET BULLISH -- LONG -- CAUTION

Keybot the Quant remains long moving into the Friday session. Yesterday was a sideways session where bears were pressing equities lower but could not push VIX above 16.60, so they had nothing, and then the bulls pushing stocks higher but they could not push UTIL above 603, so they had nothing.

Bulls need UTIL above 603 to confirm a strong upside path for stocks ahead. Stronger copper and commodities will also help bulls. Bears need either VIX above 16.60 or XLF under 24.01 to create market negativity. If utes remain in the bear camp, and volatility and the financials in the bull camp, equities will float sideways with a slight upward bias into the weekend.

For the SPX starting at 2097, the bulls need to push above 2102 and bingo, the upside will run several handles more targeting 2108-2110. The bears need to push under 2091 to accelerate the downside. A move through 2092-2101 is sideways action to end the week. The caution flag is out. If either volatility or financials turn bearish as described above, and the SPX drops under 2091, Keybot will likely flip to the short side.

2/22/15; 7:00 PM EST =

2/19/15; 12:22 PM EST = +54; signal line is +50

STOCK MARKET BULLISH -- LONG -- CAUTION

Keybot the Quant remains long as the algo is active printing three numbers today thus far. The markets initially sold off but the VIX did not move above 16.61 so bears got nothing. UTIL moves under 603, however, helping the bears and placing a ceiling on the market upside. Bulls need UTIL above 603 to light the way higher to more all-time highs for stocks. So watch UTIL 603 and VIX 16.61. The algo is now tracking financials in addition to utilities and volatility; XLF 24.02 is identifed as a key bull-bear line in the sand. XLF is at 24.29 creating market bullishness. Bears will roll stocks south if XLF fails at 24.02.

Stocks are staggering sideways and will gain strength higher with UTIL above 603, or, gain strength lower with VIX above 16.61. The algo number is only four points from the signal line indicating an ongoing bull-bear fight. Utes and volatility determine the winner. A spike in volatility would set the algo up to potentially flip short so a caution flag is in order as stocks stumble sideways.

2/22/15; 7:00 PM EST =

2/19/15; 12:22 PM EST = +54; signal line is +50

2/19/15; 12:03 PM EST = +70; signal line is +49

2/19/15; 11:08 AM EST = +54; signal line is +47

2/18/15; 2:17 PM EST = +70; signal line is +45

STOCK MARKET BULLISH -- LONG

Keybot the Quant remains long moving into the Thursday session. The bears push VIX above 16.61 at the opening bell yesterday and began celebrating but minutes later volatility dropped destroying the bear joy. In addition, in the afternoon, UTIL moves above the 603 bull-bear line in the sand smacking the bears further. The bulls are cruising.

Bulls need higher copper and commodities to make further headway higher. Bears need either VIX above 16.61 and/or UTIL under 603 to stop the stock market rally, otherwise they got nothing.

For the SPX starting at 2100, the bulls only need a smidge of green in the S&P futures and an upside acceleration of several handles will occur. At this writing, about three hours before the opening bell, S&P futures are -2. The bears need to push under 2092 to accelerate the downside. A move through 2093-2099 is sideways action. Markets will float higher unless the VIX moves above 16.61 or UTIL moves below 603.

2/22/15; 7:00 PM EST =

2/18/15; 2:17 PM EST = +70; signal line is +45

2/18/15; 9:00 AM EST = +54; signal line is +43

2/15/15; 7:00 PM EST = +54; signal line is +42

STOCK MARKET BULLISH -- LONG -- CAUTION

Keybot the Quant remains long as the algo begins the week without printing any numbers. Bears need VIX above 16.61 to place a lid on the stock market rally. Bulls need UTIL above 603 to create a new leg higher for stocks. JJC above 32.00 will also create bull juice. The stock market is greatly impacted by volatility currently and today the VIX and SPX are both higher so one of them is wrong. As volatility goes, the stock market will move inversely.

For the SPX starting at 2100, the first closing print above 2100 in history, the bulls only need one point, to push above 2101 to keep the party going so watch for any positivity in the overnight S&P futures. The bears need to push under 2090 to accelerate the downside. A move through 2091-2100 is sideways action for Tuesday. Watch VIX 16.61. The caution flag is out since, interestingly, if the VIX moves above 16.61, and the SPX under 2090, Keybot will likely flip short.

2/22/15; 7:00 PM EST =

2/18/15; 9:00 AM EST =

2/15/15; 7:00 PM EST = +54; signal line is +42

STOCK MARKET BULLISH - LONG

Keybot the Quant is long moving into the new week of trading. US markets do not reopen until Tuesday morning due to the President's Day holiday on Monday. The bulls need higher utilities to move the stock market higher while the bears need higher volatility to move the market lower. Bulls need UTIL above 603 (now at 594 creating market negativity). Bears need VIX above 16.61 (now at 14.69 creating market positivity). 

For the SPX starting at a new record high at 2097, the bulls only need a smidge of green in the S&P futures ahead of Tuesday morning's open and the upside will easily accelerate above 2100. The bears need to push under 2087 to accelerate the downside that will tag 2082 very quickly. A move through 2088-2096 is sideways action for Tuesday. The bulls are driving the bus. Keybot prints one pre-scheduled number on Wednesday.

2/22/15; 7:00 PM EST =

2/18/15; 9:00 AM EST =

2/15/15; 7:00 PM EST = +54; signal line is +42

2/13/15; 12:14 PM EST = +54; signal line is +41

STOCK MARKET BULLISH -- LONG

Keybot the Quant remains long through the weekend. The algo prints four numbers today including the pre-scheduled number. The bears took it on the chin this week as semiconductors and financials rocket higher and volatility drops like a stone. The bulls are in control but note the algo number is only 13 points above the signal line. UTIL drops to 593 well under the 603 bull-bear level applicable for all of next week. This is a feather in the bears caps for Tuesday morning (markets are closed on Monday for President's Day) and if UTIL remains under 603, the upside in stocks should stall.

2/15/15; 7:00 PM EST =

2/13/15; 12:14 PM EST = +54; signal line is +41

2/13/15; 10:32 AM EST = +70; signal line is +40

2/13/15; 10:00 AM EST = +54; signal line is +37

2/13/15; 9:40 AM EST = +54; signal line is +36

2/12/15; 9:36 AM EST = +70; signal line is +35

STOCK MARKET BULLISH -- LONG

Keybot the Quant remains long heading into Friday trading. A pre-scheduled number prints shortly after the opening bell. The bulls are cruising higher with the algo number 35 points above the signal line. Bears need to push volatility higher, VIX above 16.61, or they got nothing. UTIL is at 603.55. The UTIL 603 level is critical for all of next week and look how price made its way down to make a bounce or die decision. If UTIL is under 603 at the closing bell, stocks will be in trouble come Tuesday morning (markets are closed on Monday for President's Day). If UTIL finishes above 603 today, the bulls will remain in party mode. Bulls will need to push copper and commodities higher to make further upside gains.

For the SPX starting at 2088, the bulls only need a smidge of green in the S&P futures and price will accelerate higher to print new all-time highs in the mid 2090's and that appears on tap. S&P +4. The bears need to push under 2070 to create a downside acceleration. A move through 2071-2088 is sideways action. The bulls are in control and have no worries at all--unless the VIX moves above 16.61.

2/15/15; 7:00 PM EST =

2/13/15; 10:00 AM EST =

2/12/15; 9:36 AM EST = +70; signal line is +35

STOCK MARKET BULLISH -- LONG

Keybot the Quant remains long with the bulls slappin' around the bears today once volatility collapsed; the VIX falls under 16.61 creating upside market fuel. The bullls are on easy street. Bears got nothing unless they push VIX back above 16.61 and keep it above.

The SPX tags 2074 in the opening minute and catapults to 2083; the 2082 resistance level holds on the first attack. Watch VIX 16.61 as the main rudder steering the ship today. VIX is at 16.05 well under the 16.61 bull-bear line so stocks remain buoyant heading higher. Remember, volatility moves inverse to the stock market. Also take note of the weakness in utilities lurking in the background.

2/13/15; 10:00 AM EST =

2/12/15; 9:36 AM EST = +70; signal line is +35

2/10/15; 9:36 AM EST = +56; signal line is +33

STOCK MARKET BULLISH -- LONG

Keybot the Quant remains long and the algo does not print any numbers today. The same parameters previously listed remain in play until one of them flinch. The bulls push volatility lower with VIX at 16.96 only 35 cents from the bull-bear line in the sand at 16.61. Bulls will not achieve sustainable upside in stocks unless they push VIX under 16.61 which will result in a huge bull party into the holiday weekend.

Bears need to push NYA under 10818 and/or UTIL under 597 to receive downside selling action. Utilities are dropping like a stone. UTIL is at 605.63; continue watching the key UTIL 597 level through Friday and the 603 level is key next week. The closing print on Friday at 4 PM is critical. Market bulls are in big trouble if the week ends with UTIL under 603. Utes will only cause market mayhem this week if UTIL moves under 597.

For the SPX starting at 2069 on Thursday, the bulls need to push above 2073.50, about 5 points higher, and boom, the upside will accelerate to 2082 immediately. If VIX is under 16.61, the SPX will be headed to new all-time highs and bulls will be popping champagne corks. The bears need to push the SPX under 2058 to accelerate the downside. A move through 2059-2073 is sideways action for Thursday.

Pay attention to VIX 16.61 at the opening bell. If VIX moves higher, bears are fine and the market upside will stall. If VIX drops under 16.61 the bulls are going to bludgeon the bears. If stocks rally but VIX does not drop under 16.61, then equities will reverse and selloff. The bulls are driving the bus. 

2/15/15; 7:00 PM EST =

2/13/15; 10:00 AM EST =

2/10/15; 9:36 AM EST = +56; signal line is +33

STOCK MARKET BULLISH -- LONG

Keybot the Quant remains long after a strong rally day on Tuesday. Semiconductors explode higher punching the bears in the face. The algo is currently tracking volatility, financials and the NYA Index. Bulls need VIX under 16.62 (now at 17.23 very close) and the stock market will explode higher moving towards new all-time highs. The bears need to either push XLF under 23.88 (now at 24.21) and/or NYA under 10818 (now at 10915) to create selling pressure so the bears have their work cut out for them.

For the SPX starting at 2069, bulls only need to touch the 2071 handle to accelerate the upside party to 2075-2076 in a heartbeat. From here, the upside will depend on if the VIX turns bullish, or not. The bears need to push under 2049 to regain their mojo, a formidable task, so instead bears will focus on keeping volatility higher while moving banks and the NYA lower which will stall the upside market rally. A move through 2050-2070 is sideways action for Wednesday. The bulls are cruising but market price action is reacting to Greece and Ukraine news so if the news is good it is party time for bulls if the news is bad then the bears will regain the upper hand.

2/15/15; 7:00 PM EST =

2/13/15; 10:00 AM EST =

2/10/15; 9:36 AM EST = +56; signal line is +33

2/10/15; 9:35 AM EST = +40; signal line is +32

2/10/15; 9:32 AM EST = +26; signal line is +30 but algorithm remains long

2/9/15; 9:36 AM EST = +40; signal line is +30

STOCK MARKET BULLISH -- LONG -- CAUTION

Keybot the Quant remains long as the goofy market action continues. The algo prints one number today. Semiconductors took the pipe which created market weakness but the bears could not develop further strength. Bulls need SOX above 670.03 and/or VIX under 16.49 and the upside stock market party will resume. Bears need XLF under 23.86 and/or NYA under 10814 to declare victory and send equities strongly lower. If VIX and SOX remain bearish and XLFand NYA remain bullish, then stocks stagger sideways with an upward bias. If financials turn bearish (XLF under 23.86) or NYA turns bearish (NYA under 10814), either one will do, and the SPX drops under 2042, Keybot will likely flip to the short side. If banks are weak on Tuesday, consider the imminent turn status to be in play for the algo. If banks trade positively after the opening bell, the fix is probably in and the bulls will likely move stocks sideways to sideways higher.

Note that UTIL dropped to 607. Big trouble occurs if UTIL drops under 597 this week, or 603 next week. UTIL is only four points from the level that will cause market trouble next week.

For the SPX starting at 2047, the bulls need to touch the 2056 handle and bingo, the upside will accelerate to 2061 in a heartbeat. The bears need to push under 2042 to accelerate the downside. A move through 2043-2055 is sideways action for Tuesday. Pay close attention to SOX 670 and NYA 10814 since these two parameters will tell you the market story on Tuesday. Bulls need stronger semiconductors and bears need a lower NYA Index, respectively.

2/15/15; 7:00 PM EST =

2/13/15; 10:00 AM EST =

2/9/15; 9:36 AM EST = +40; signal line is +30

2/8/15; 7:00 PM EST = +56; signal line is +29

STOCK MARKET BULLISH -- LONG -- CAUTION

Keybot the Quant remains long moving into the new week of trading. The erratic sawtooth action will probably continue. The bulls need volatility to drop with the VIX moving under 16.49 (now at 17.29) and it will be a big bull party on Monday. The bears need to either push SOX under 670.03 (now at 671.84 less than 2 points away) and/or XLF under 23.86 (now at 24.14) to create market mayhem. So listen for any potential news overnight about weakness or strength in semiconductor and financial stocks, respectively. If the status quo remains, with volatility in the bear camp and SOX and XLF in the bull camp, stocks will stagger sideways with a slight upward bias. If any of these three parameters flinch, you will immediately know the correct market direction ahead. If both the SOX and XLF turn bearish consider the imminent turn status to be in play and the algorithm preparing to flip back to the short side.

An interesting development is the weakness in utilities since Keybot is showing interest in UTIL 596.93. This number is valid for the entire week. If UTIL, now at 614, falls under 597, the stock market is in big trouble. Another level you want to know is UTIL 603 which will be applicable for all of the following week, the holiday-shortened week from 2/17/15 to 2/20/15. At 4 PM EST this coming Friday watch the UTIL (utilities index) since a close under 603 will indicate serious market trouble is on the way. A close above 603 will indicate bulls are fine.  If UTIL floats higher this week or remains stable moving sideways, the bulls will travel merrily along without any negative affects from utes.

For the SPX starting at 2055, the bulls need to push above 2072 to create an upside acceleration that will test 2075-2076 immediately. The bears need to push under 2050 that will accelerate price down to 2044-2046 in a heartbeat for a bounce or die decision. A move through 2051-2071 is sideways action to begin the week. Keybot prints one pre-scheduled number this week on Friday morning shortly after the opening bell. Markets remain erratic and unstable. The bulls are driving the rickety bus.

2/15/15; 7:00 PM EST =

2/13/15; 10:00 AM EST =

2/8/15; 7:00 PM EST = +56; signal line is +29

2/6/15; 12:15 PM EST = +56; signal line is +28

STOCK MARKET BULLISH -- LONG -- CAUTON

Keybot the Quant remains long through the weekend as another whipsaw week in 2015 comes to an end. The VIX jumps above 16.48 after lunchtime ushering in market negativity, however, the bears could not provide any further downside juice. Semiconductors drop with the SOX down to a low at 670.02, at the level called out by the algo ahead of time, and bounces so you knew the bears could not create further selling. Isn't it remarkable that Keybot can identify these important sectors and price levels before they occur? If SOX would have failed, stocks would have went into freefall into the closing bell. But SOX bounced and stocks finish somewhat flat the SPX exactly at the 2055 where Keybot exited/entered the last trade.

Semiconductors, finanicals, volatility and utilities will be important next week. Levels can be identifed once the pre-scheduled number prints tomorrow.

2/8/15; 7:00 PM EST =

2/6/15; 12:15 PM EST = +56; signal line is +28

2/6/15; 10:03 AM EST = +70; signal line is +27

STOCK MARKET BULLISH -- LONG -- CAUTION

Keybot the Quant remains long as the stock market gains fade late day. Watch VIX 16.48. Lower volatility created the stock market rally early in the day and VIX above 16.48 ushers in equity weakness in the afternoon.

2/8/15; 7:00 PM EST =

2/6/15; 12:15 PM EST = +56; signal line is +28

2/6/15; 10:03 AM EST = +70; signal line is +27

2/6/15; 9:00 AM EST = +56; signal line is +25

2/5/15; 9:59 AM EST = +56; signal line is +23

STOCK MARKET BULLISH -- LONG -- CAUTION

Keybot the Quant flips long today at SPX 2055 as the parameters previously highlighted all turn bullish creating the lift in markets. The choppy sideways pattern on the year remains in play. The SPX has already covered nearly 25% of its 2000-point range this year already. The bulls created strength with NYA 10809, SOX 670.05 and XLF 23.86. Continue to monitor these three characters continuously since they will push the stock market in the same respective direction. All three are in the bull camp so the bears need to push price under one of the levels to stop the upside rally. If all three remain bullish the bear beatings will continue and equities will keep floating higher.

The algo is tracking financials and volatility as the two key parameters effecting market direction right now. Volatility dropped today but it remained in the bear camp causing market negativity. The bulls need to push VIX under 16.48 and a strong leg higher will occur for stocks with the SPX at 2067 in a heartbeat and working towards the 2070's.  The bears need to push XLF under 23.86 (now at 23.95) and the equities rally will be stopped. Bears cannot receive strong negative juice, however, unless 2 of the 3 parameters in the first paragraph turn bearish.

The algorithm takes another loss this year of one-half percent for the algorithm program and the actual trading. Keybot exits SH and enters SPY. The algo is in single ETF mode for at least one month forward due to the erratic whipsaw action in markets currently. The Monthly Jobs Report hits in the morning so who knows, perhaps another whipsaw occurs to the downside. Markets are very erratic and unstable.

For the SPX on Friday starting at 2063, the bulls only need one point, to touch the 2064 handle and boom, price will be at 2067 in an instant and likely poke up through in quick order on its way to 2070+. Watch the S&P futures to see if the bulls have one point in them. Global markets should be quiet overnight and the rubber hits the road at 8:30 AM EST where futures may react violently one way or the other. The market bears need to push under 2044 to regain their mojo. A move through 2045-2063 is sideways action to end the week. Keybot prints a pre-scheduled number tomorrow before the opening bell. The bulls are driving the bus; how far will they travel? VIX 16.48 and XLF 23.86 will tell you the answer at the opening bell.

2/8/15; 7:00 PM EST =

2/6/15; 9:00 AM EST =

2/5/15; 9:59 AM EST = +56; signal line is +23

2/5/15; 9:49 AM EST = +40; signal line is +23; go long 2055; (Benchmark SPX for 2015 = -0.2%)(Keybot algo this trade = -0.4%; Keybot algo for 2015 = -3.7%)(Actual results this trade = -0.5%; Actual results for 2015 = -7.3%) [E: 201501260931A]

2/5/15; 9:48 AM EST = +40; signal line is +22 but algorithm remains short

2/5/15; 9:36 AM EST = +24; signal line is +21 but algorithm remains short

2/4/15; 3:51 PM EST = +10; signal line is +21

2/4/15; 3:47 PM EST = +26; signal line is +22 but algorithm remains short

2/4/15; 3:46 PM EST = +40; signal line is +22 but algorithm remains short

2/4/15; 3:25 PM EST = +56; signal line is +23 but algorithm remains short

2/4/15; 3:22 PM EST = +40; signal line is +22 but algorithm remains short

2/4/15; 3:09 PM EST = +26; signal line is +22 but algorithm remains short

2/4/15; 1:53 PM EST = +10; signal line is +23

2/4/15; 1:33 PM EST = +24; signal line is +23 but algorithm remains short

2/4/15; 12:45 PM EST = +10; signal line is +23

2/4/15; 10:50 AM EST = +24; signal line is +23 but algorithm remains short

2/4/15; 10:29 AM EST = +10; signal line is +24

2/4/15; 10:07 AM EST = +24; signal line is +25

2/4/15; 9:36 AM EST = +10; signal line is +25

2/3/15; 2:50 PM EST = +24; signal line is +25

2/3/15; 2:33 PM EST = +10; signal line is +24

2/3/15; 1:35 PM EST = +24; signal line is +24 but algorithm remains short

2/1/15; 7:00 PM EST EOM = +10; signal line is +24

1/30/15; 10:00 AM EST = +10; signal line is +24

1/28/15; 2:26 PM EST = +10; signal line is +24

1/28/15; 11:34 AM EST = +26; signal line is +24 but algorithm remains short

1/28/15; 11:21 AM EST = +10; signal line is +23

1/28/15; 9:36 AM EST = +26; signal line is +23 but algorithm remains short

1/27/15; 3:02 PM EST = +10; signal line is +23

1/27/15; 3:01 PM EST = +24; signal line is +23 but algorithm remains short

1/27/15; 2:27 PM EST = +40; signal line is +22 but algorithm remains short

1/27/15; 2:25 PM EST = +24; signal line is +21 but algorithm remains short

1/27/15; 10:00 AM EST = +10; signal line is +21

1/27/15; 9:30 AM EST = +6; signal line is +22; go short 2047; (Benchmark SPX for 2015 = -0.6%)(Keybot algo this trade = -0.3%; Keybot algo for 2015 = -3.3%)(Actual results this trade = -1.0%; Actual results for 2015 = -6.8%) [E: 201501260931A]

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

Keybot the Quant remains short after a wild violent day of action. The markets are extremely erratic. The bulls had it on a silver platter and Keybot was literally seconds or at most minutes from flipping long. The algo was waiting for price to latch properly which is typically a given, and then boom; the ECB news hit the wires concerning Greece and the markets collapsed in a heart beat. All three of the previous parameters highlighted; NYA 10809, SOX 670.05 and XLF 23.86 leap back into the bear camp after leaping into the bull camp a short time before. It is rare for three key parameters to perform that type of behavior. The algo ends at where it started the day.

For Thursday, the three parameters above, and VIX 16.48, are all in play and being tracked by Keybot. All four parameters are creating market negativity. If any of the four parameters turn bullish, and the SPX moves above 2051-2054, and remains above, Keybot will likely flip to the long side. Focus on semiconductors and financials since they are ranked as the most important influences on market direction currently. Watch SOX 670.05 (price is at 669.15 so bulls need 90 cents). Watch XLF 23.86 (price is at 23.71 so bulls need 15 cents). These two will likely tell the immediate market story at the opening bell. And of course keep watching NYA 10809.

For the SPX starting at 2042, the bulls need to touch the 2055 handle and bingo, stocks will accelerate higher to 2061 in a flash. The bears need to push under 2037 which will create a downside acceleration. A move through 2038-2054 is sideways action. Markets remain very unstable. The circus will likely continue.

2/6/15; 9:00 AM EST =

2/4/15; 3:51 PM EST = +10; signal line is +21

2/4/15; 3:47 PM EST = +26; signal line is +22 but algorithm remains short

2/4/15; 3:46 PM EST = +40; signal line is +22 but algorithm remains short

2/4/15; 3:25 PM EST = +56; signal line is +23 but algorithm remains short

2/4/15; 3:22 PM EST = +40; signal line is +22 but algorithm remains short

2/4/15; 3:09 PM EST = +26; signal line is +22 but algorithm remains short

2/4/15; 1:53 PM EST = +10; signal line is +23

2/4/15; 1:33 PM EST = +24; signal line is +23 but algorithm remains short

2/4/15; 12:45 PM EST = +10; signal line is +23

2/4/15; 10:50 AM EST = +24; signal line is +23 but algorithm remains short

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

Keybot the Quant remains short as the erratic sideways circus continues but wants to go long as soon as the internal program parameters latch. NYA is on each side of the critical 10809 but over the last hour remaining above helping bulls. XLF keeps teasing 23.87 but remains under helping bears. SOX is key at 669.03 teasing near the 670.10 bull-bear line in the sand that would launch stocks higher. VIX is 17.33 causing bearishness above the critical 16.48 that Keybot identifies.

So lots of drama is occurring with the algo champing at the bit to go long right now with the algo number one tick above the signal line. The algo number and signal line tracking dead together verifies the sideways behavior of markets. Something will eventually give and the parameters listed will light that path forward. If the SPX moves above 2050-2051 (now at 2050-ish), and remains above, Keybot will likely flip long. The bears need to push NYA under 10809 (now at 10830) pronto or they are toast. Bulls need to push SOX only about one point higher, above 670.10, and a huge upside party will result.

2/8/15; 7:00 PM EST =

2/6/15; 9:00 AM EST =

2/4/15; 10:50 AM EST = +24; signal line is +23 but algorithm remains short

2/4/15; 10:29 AM EST = +10; signal line is +24

2/4/15; 10:07 AM EST = +24; signal line is +25

2/4/15; 9:36 AM EST = +10; signal line is +25

2/3/15; 2:50 PM EST = +24; signal line is +25

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

Keybot the Quant remains short with the bears hanging on by only one strand of thread. With the huge two-day rally it is surprising the algo did not flip long but the whole year is a surprise thus far. The algo was in position to go long waiting for various parameters to latch but by the time 2:30 PM rolled around and ducks were lining up in a row, the algo number dropped again. So, for at least overnight tonight, the bears hang on by a fingernail.

The algo is tracking four parameters that will dictate market direction on Wednesday; NYA 10809, XLF 23.87, SOX 670.55 and VIX 16.48. The bears must push NYA under 10809 after the opening bell or they got nothing. Market selling will begin again if the NYA loses 10809. If it stays above, the bears are going to be toast.

The bulls need to either push XLF above 23.87 (only a dime away), SOX above 670.55 (only about 3 bucks away) and/or the VIX under 16.48 (only a point away). Any one of the three parameters flipping into the bull camp will likely cause Keybot to flip long. So the bears have their hands full trying to prevent these three parameters from turning bullish and at the same time pushing NYA lower. Clearly the bulls have it on a silver platter if they want it at the opening bell on Wednesday.

For the SPX starting at 2050, closing at the highs, the bulls only need a tiny smidge of green in the overnight futures and bingo, another bullish rally will occur. Watch the S&P futures overnight to see if that smidge of positivity appears. The bears must retrace today's rally and push the SPX under 2023, a formidable task, so instead the bears will focus on pushing NYA under the important 10809 bull-bear level. If the bears push NYA under 10809 they are fine and stocks should soften. If NYA stays above 10809, the bears are in big trouble. A move through SPX 2024-2049 is sideways action for Wednesday. Focus on watching NYA 10809 and XLF 23.87 and you will receive the market answer.

2/6/15; 10:00 AM EST =

2/3/15; 2:50 PM EST = +24; signal line is +25

2/3/15; 2:33 PM EST = +10; signal line is +24

2/3/15; 1:35 PM EST = +24; signal line is +24 but algorithm remains short

2/1/15; 7:00 PM EST EOM = +10; signal line is +24

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

Keybot the Quant remains short after another wild and volatile day of big price moves. Late in the day the SPX launched higher moving up at a rate of over three points per minute. This is one SPX point every 20 seconds and price moving one nickel per second! The algo idled along all day without printing any numbers to begin the week. For Tuesday, the algo appears most fixated on the NYA Index as the main rudder steering the market ship. Watch the NYA 40-week MA at 10810-ish. If the stock market rally continues and the NYA moves above 10810, Keybot will likely flip back to the long side. If stocks rally but the NYA does not achieve 10810, equities will reverse and begin selling off again.

For the SPX starting at 2021, the bulls only need one positive point., to touch the 2022 handle and bingo, the upside will accelerate. Watch the S&P futures overnight for any positivity. The bears need to push under 1981 to regain their mojo, a formidable task, so instead bears will be preventing the NYA from moving higher as well as financials and semiconductors and at the same time trying to push volatility higher. If a big rally occurs, watch the NYA 10810 level like a hawk.

2/8/15; 7:00 PM EST =

2/6/15; 9:00 AM EST =

2/1/15; 7:00 PM EST EOM = +10; signal line is +24

STOCK MARKET BEARISH -- SHORT -- CAUTION

Keybot the Quant is short moving into the new week of trading. Markets remain very erratic and unstable jumping wildly higher and lower intraday and day to day. If you blink, seconds later the markets are moving in the reverse direction several handles. The bulls need to push volatility lower, under 16.10, and/or NYA above 10811 and/or SOX above 673.82. The bears need to push RTH under 70.50 and/or SPX  under 1962 to gather more downside momentum. Interestingly, all these sectors and price levels are difficult targets for both bulls and bears to attain, however, one of them will flinch.

Until then, the choppy sideways action likely continues. If the SPX moves above 2023 on Monday, Keybot will likely go long, however, if stocks rally but the bulls do not achieve one of the VIX, NYA or SOX targets above, stocks will weaken and roll over to the downside again.

For the SPX starting at 1995, the bulls need to push above 2023 to accelerate the upside and the bears need to push under 1993.50 to accelerate the downside. Watch the S&P futures overnight to see if the bears can muster up a couple points of negativity to keep the downside party going. A move through 1994-2022 is sideways action for Monday. Watch semiconductors closely, SOX and SMH, early in the week since the chips contributed much of the market weakness last week. Equities will likely move in concert with semi's.

2/8/15; 7:00 PM EST =

2/6/15; 9:00 AM EST =

2/1/15; 7:00 PM EST EOM = +10; signal line is +24

1/30/15; 10:00 AM EST = +10; signal line is +24