STOCK MARKET BULLISH -- LONG -- CAUTION

Keybot the Quant remains long. The algo number dipped under the signal line yesterday which sets the wheels in motion to flip short, however, the algo could not satisfy other programming rules to go short, so the bulls ran higher into the closing bell with the SPX printing new all-time highs.  Volatility remains key. Watch VIX 13.20. Bulls need to stay under 13.20 to keep the market buoyancy in place while the bears need to move above 13.20 so they can growl.

For the SPX today starting at 1659, the bulls need to punch through 1661.50 to create another upside market acceleration. The bears need to push under 1647 to accelerate the downside. A move through 1648-1660 is sideways action. If the VIX moves above 13.20 and the SPX drops under 1647, Keybot will likely flip to the short side. Markets remain very unstable. The algo prints a pre-scheduled number at 9 AM.

5/16/13; 9:00 AM EST =

5/15/13; 1:35 PM EST = +46; signal line is +37

5/15/13; 12:40 PM EST = +32; signal line is +37 but algorithm says stay long

STOCK MARKET BULLISH -- LONG -- CAUTION

Keybot the Quant remains long.  The algo prints two numbers today as volatility moves wildly up and down, briefly piercing through the bull-bear line at 13.20 but now back under again at 12.93. The market bulls are running again today but the wind came out of the sales as volatility climbed. The SPX punched through the 1651 resistance this morning so that caused the acceleration move to a new all-time high at 1661.49. The SPX is at 1655 up four points today. Watch VIX 13.20.

5/16/13; 9:00 AM EST =

5/15/13; 1:35 PM EST = +46; signal line is +37

5/15/13; 12:40 PM EST = +32; signal line is +37 but algorithm says stay long

5/13/13; 9:30 AM EST = +46; signal line is +37

STOCK MARKET BULLISH -- LONG -- CAUTION

Keybot the Quant  remains long moving into the Wednesday session. Volatility, VIX, teased the 13.20 level yesterday and then collapsed sending the SPX upwards to print new all-time highs. VIX 13.20 remains key; bulls will maintain elevated markets with VIX under 13.20 while bears will growl if VIX moves above 13.20. For the SPX starting at 1650, the bulls need to touch and move above the 1651 handle, only one point higher, to create another upside acceleration. The bears need to retrace yesterdays move and push under 1634 to regain their mojo. A move through 1635-1650 is sideways action. If the VIX pops above 13.20, and the SPX drops under 1634, Keybot will likely flip short, otherwise, the bulls are driving the bus forward. Copper and commodities weakness has no affect on markets, so far. The broad indexes remain erratic and unstable. Caution is warranted.

5/16/13; 9:00 AM EST =

5/13/13; 9:30 AM EST = +46; signal line is +37

STOCK MARKET BULLISH -- LONG -- CAUTION

Keybot the Quant is long moving into the Tuesday session. Copper and volatility remain the two key market drivers currently. Watch JJC 41.92 (price is under causing bearishness) and VIX 13.25 (price is under causing bullishness). The bears need the VIX above 13.25. The bulls need JJC above 41.92. Copper is down in early trading. GTX 4810 remains as a bull-bear line in the sand and price is currently under causing market bearishness.  If VIX moves above 13.25, and the SPX drops under 1627, Keybot will likely flip short.

For the SPX at 1634, starting at a new all-time closing high (only seven pennies above Friday's closing high), the bulls need to touch the 1636 handle which is the all-time intraday high, and the 1640 handle will occur quickly.  The bears need to push under 1627 to accelerate the downside to 1618. A move through 1628-1635 is sideways action. Markets remain erratic and unstable. JJC 41.92, VIX 13.25 and SPX 1627 and 1636 tell the story today.

5/16/13; 9:00 AM EST =

5/13/13; 9:30 AM EST = +46; signal line is +37

STOCK MARKET BULLISH -- LONG -- CAUTION

Keybot the Quant is long to begin the week. Copper weakness appears this morning but not overly negative. JJC is 41.57 under the bull-bear line so the broad indexes are under some minor selling pressure. The algo prints a number to begin the new week and the algo number and signal line continue to converge. GTX is lower to 4700 remaining bearish. VIX is lower to 12.57, well under the 13.30 bull-bear danger level (use 13.30 instead of 13.70 moving forward) so the bulls are not worried or concerned. SPX is slightly negative at 1630. Pay attention to JJC 41.93, VIX 13.30 and SPX 1624.

5/16/13; 9:00 AM EST =

5/13/13; 9:30 AM EST = +46; signal line is +37

5/12/13; 7:00 PM EST = +62; signal line is +36

STOCK MARKET BULLISH -- LONG -- CAUTION

Keybot the Quant remains long moving into the new week of trading. Copper, JJC, will immediately dictate broad market direction at the opening bell. Watch JJC 41.93. Price is now at 41.94 one penny on the bull side which creates market buoyancy. Bulls win if JJC moves up; bears win if JJC moves down. The algo is also tracking volatility with interest. VIX 13.70 is the bull-bear line in the sand. The VIX is 12.59, collapsing late Friday which created the big thrust higher for markets, so the bulls are cruising along without a care or worry (volatility and the SPX move inversely). Bulls win with VIX under 13.70; bears win with VIX above 13.70. Keybot is also tracking commodities currently. Watch GTX 4810, now at 4718 creating market negativity. Bulls are trying to push the GTX above 4810 to receive upside market fuel.

For the SPX starting at 1634, the bulls have the easy road, only needing to see a smidge of green in the overnight futures and tomorrow the trek to 1640 begins. The bears need to push under 1624 to accelerate a move lower to 1618 in quick order.  A move through 1625-1633 is sideways action. Markets are unstable and erratic as evidenced by the wild multi-handle swings late last week. Remain cautious. If JJC drops under 41.93, VIX moves above 13.70 and SPX drops under 1624, it is very likely that Keybot the Quant will flip short. The bulls maintain control of the markets if the VIX stays under 13.70. Keybot prints two pre-scheduled numbers this week; one on Thursday and the other on Friday.

5/19/13; 7:00 PM EST =

5/17/13; 10:00 AM EST =

5/16/13; 9:00 AM EST =

5/12/13; 7:00 PM EST = +62; signal line is +36

5/10/13; 3:54 PM EST = +62; signal line is +34

STOCK MARKET BULLISH -- LONG -- CAUTION

Keybot the Quant is long through the weekend. Late session drama occurs as copper and commodities run higher during the last couple hours of trading creating buoyancy in the broad indexes. JJC is 41.94. The algo identifies 41.93 as the bull-bear line in the sand so the bulls went home with a feather in their caps. The copper market is very important overnight Sunday since copper will push equities in the same direction as the new week of trading begins. Next weeks areas of interest and levels can be identified once the pre-scheduled number prints tomorrow. The bulls maintain the upper hand. The bears were given an opportunity today but once volatility dropped the bulls were on easy street. The SPX prints a new all-time closing high at 1633.70 but was unable to print a new intraday high. The SPX all-time intraday high is 1635.01.

5/12/13; 7:00 PM EST =

5/10/13; 3:54 PM EST = +62; signal line is +34

5/8/13; 11:04 AM EST = +46; signal line is +33

STOCK MARKET BULLISH -- LONG -- CAUTION

Keybot the Quant remains long. The algo did not print any numbers during the Thursday session. The bears had, and have, a potential trend change on a silver platter but cannot convert as yet. If the VIX moves above 13.73, and the SPX drops under 1623, it is highly likely that Keybot will flip to the short side, however, the bulls remain in control currently. If the JJC (copper) moves above 41.90 and/or the GTX (commodities) moves above 4810, the bulls will receive further upside market fuel and the bear's hopes will vanish.

For the SPX starting at 1627, the bulls need to push above 1635 to accelerate the upside where price will likely touch the 1640 handle in quick order. The bears need to push under 1623 to accelerate the downside to 1619 and potentially 1613. A move through 1624-1634 is sideways action. Markets remain erratic and unstable; simply look to yesterday's action where the SPX fell twelve handles, from 1635 to 1623 in only one hour's time. Remain alert and cautious. Bears win the game with VIX 13.73 and SPX 1623. Bulls win the game with SPX 1635 and/or JJC 41.90 and GTX 4810. The S&P futures are up about five as this missive is typed about five hours before the U.S. open.

5/12/13; 7:00 PM EST =

5/8/13; 11:04 AM EST = +46; signal line is +33

STOCK MARKET BULLISH -- LONG -- CAUTION

Keybot the Quant remains long as the markets melt upwards.  The behavior in copper is very interesting today since it moved the signal line higher and, despite the bullish euphoria today, sets the algo up for a potential reversal. The three parameters of greatest interest to Keybot right now that are determining market direction are copper, volatility and commodities. Copper and commodities are causing market bearishness while volatility is causing market bullishness. Watch JJC 41.93, VIX 13.74 and GTX 4810.

If JJC stays under 41.93, and VIX says under 13.74, and GTX stays under 4810, markets move sideways. If JJC moves above 41.93, and VIX remains under 13.74 and GTX moves above 4810, the bulls will be on their way to SPX 1640's. If JJC stays under 41.93, and VIX moves above 13.74, and GTX stays under 4810, the markets will sell off strongly. If the VIX moves above 13.74 and the SPX drops under 1623, it is likely that Keybot will flip to the short side.

For the SPX in the Thursday session starting at 1633, another new all-time high, the bulls only need to see a smidge of green in the futures overnight and an upside acceleration will occur to the high 1630's. The bears need to push under 1623 to accelerate the downside. A move through 1624-1632 is sideways action. Markets remain unstable. Exercise caution.

5/12/13; 7:00 PM EST =

5/8/13; 11:04 AM EST = +46; signal line is +33

STOCK MARKET BULLISH -- LONG -- CAUTION

Keybot the Quant is long as the algo prints another number today. Copper retreats from the earlier highs with JJC dropping under 41.93 helping the bears, however, it is not reflected in the SPX with another new all-time high printing at 1630.34. Bears need VIX 13.75. Bulls are fine with VIX under 13.75.

5/12/13; 7:00 PM EST =

5/8/13; 11:04 AM EST = +46; signal line is +33

5/8/13; 9:32 AM EST = +62; signal line is +32

STOCK MARKET BULLISH -- LONG -- CAUTION

Keybot the Quant remains long. The algo prints the first number of the week after the opening bell as copper runs higher. JJC 41.93 is very important moving forward. The bulls move JJC above 41.93 creating the buoyancy in the markets this morning off the lows. GTX continues to contribute bearishness to markets under 4810. VIX continues to contribute bullishness to markets. The SPX prints new all-time highs today at 1628.03, so far. The move higher in copper is interesting since it increases the signal line, which is actually what the bears need to create a turn scenario.  JJC 41.93 and VIX 13.75 are very important and would cause a market sell off if their respective levels are violated.  The bulls will simply maintain the JJC and VIX bullishness and at the same time move GTX above 4810 to supply further bull fuel for markets. Stay alert, do not be complacent. Markets remain very unstable.

5/12/13; 7:00 PM EST =

5/8/13; 9:32 AM EST = +62; signal line is +32

5/5/13; 7:00 PM EST = +46; signal line is +31

STOCK MARKET BULLISH -- LONG -- CAUTION

Keybot the Quant remains long as the bulls march higher. The SPX prints a new closing high at 1625.96 and new all-time high at 1626.03. The algo idled along all day without printing any numbers.  The bulls need to push GTX (commodities), now at 4728, over 4810 to receive upside market fuel. The bears need to push VIX (volatility), now at 12.83, over 13.75 to initiate the market selling. For the SPX starting the Wednesday session at 1626, the bulls are on easy street, only needing to see a smidge of positivity in the futures, and the SPX will run several more handles higher after the opening bell.   The bears need to push under 1617 to accelerate the downside to 1613 in quick order. A move through 1618-1625 is sideways action. The bulls are in control. Bears got nothing unless they see VIX over 13.75. Markets remain erratic and unstable.

5/12/13; 7:00 PM EST =

5/5/13; 7:00 PM EST = +46; signal line is +31

STOCK MARKET BULLISH -- LONG -- CAUTION

Keybot the Quant remains long. The bulls are motoring along on easy street as the SPX prints new all-time intraday and closing highs. If GTX, commodities, now at 4746, moves up through 4810, the markets will receive additional upside fuel.  The market bears need to push the VIX, volatility, now at 12.66, up through 13.75 to initiate market selling.  For the SPX, starting the Tuesday session at 1618, the bulls need to touch the 1620 handle and the mid 1620's will occur quickly. The bears need to push under 1614 to accelerate the downside. A move through 1615-1619 is sideways action.

5/12/13; 7:00 PM EST =

5/5/13; 7:00 PM EST = +46; signal line is +31

STOCK MARKET BULLISH -- LONG -- CAUTION

Keybot the Quant remains long moving into the new week of trading. Volatility remains key. Markets will climb higher if the VIX stays under 14. Markets will noticeably sell off if the VIX moves above 14. The bulls appear in firm control and will try to further bounce copper and commodities to gain additional strength. The bears will try to create weakness in semiconductors (that are very strong and created much of the upside oomph last week in addition to the lower volatility), financials and retail sectors. Even with higher volatility that will create weaker markets, it does not appear that it would be enough for Keybot to flip short. The best hope for bears would be to see the VIX move over 14 and then oscillate on each side of 14 for a few times which would ratchet the signal line higher so the algo could trigger short, otherwise, the bulls keep running higher.

For the SPX starting at 1614, a new all-time closing high, bulls need to push up through 1618 to create a several handle acceleration to new heights. The bears need to retrace Friday's up move and push under the strong 1597-1598 support, a formidable challenge but not impossible, to accelerate the downside to 1593 in quick order. A move through 1599-1617 is sideways action. Keybot does not print any pre-scheduled numbers this week so the algo will solely print based on the market action.

5/12/13; 7:00 PM EST =

5/5/13; 7:00 PM EST = +46; signal line is +31

5/3/13; 9:00 AM EST = +46; signal line is +31

STOCK MARKET BULLISH -- LONG -- CAUTION

Keybot the Quant is long through the weekend.  The algo idled along yesterday without printing any numbers during the trading session. Volatility will remain key next week. The bulls are cruising. Next week's areas of interest can be identified once the Sunday pre-scheduled number prints tomorrow.

5/5/13; 7:00 PM EST =

5/3/13; 9:00 AM EST = +46; signal line is +31

STOCK MARKET BULLISH -- LONG -- CAUTION

Keybot the Quant remains bullish into the Friday opening bell. The algo prints a pre-scheduled number resulting in no change. The bulls are driving the bus and with the strong Jobs Report, the SPX appears ready to run up through 1600. Stay alert and remain cautious.

5/5/13; 7:00 PM EST =

5/3/13; 9:00 AM EST = +46; signal line is +31

5/2/13; 10:14 AM EST = +46; signal line is +31

STOCK MARKET BULLISH -- LONG -- CAUTION

Keybot the Quant remains long. A pre-scheduled number prints in a few hours. The bulls are driving the bus. Volatility remains key; watch the bull-bear line at VIX 14. Even if the bears push the VIX above 14, however, creating market weakness, it will likely not have enough oomph to cause the algo to flip to the short side. For the SPX starting at 1598, a new all-time high, the bulls only need to see positive futures and 1600 will print quickly and the trek to the 1620's will likely begin.  The bears need to retrace yesterdays move and push under 1583 to accelerate the downside. A move through 1584-1597 is sideways action. 

5/5/13; 7:00 PM EST =

5/3/13; 9:00 AM EST =

5/2/13; 10:14 AM EST = +46; signal line is +31

STOCK MARKET BULLISH -- LONG -- CAUTION

Keybot the Quant remains long.  The algo prints a number this morning as volatility stumbles lower favoring the bulls. The VIX is at 13.78 well under 14.00, allowing the bulls to run the broad indexes higher. The SPX prints a new all-time high intraday today at 1597.86 so pay attention to that number. The bulls are driving the bus. Bears got nothing unless they can push VIX back above 14.

5/3/13; 9:00 AM EST =

5/2/13; 10:14 AM EST = +46; signal line is +31

5/1/13; 9:36 AM EST = +32; signal line is +31

STOCK MARKET BULLISH -- LONG -- CAUTION

Keybot the Quant remains long moving into the Thursday session. Volatility is higher helping the bears but key sectors such as financials, retail and semiconductors remain in the bull camp. Any one of these three would need to drop about -2% to create the bear fuel necessary to move markets strongly lower. Despite the one point difference between the algo number and signal line, the bulls appear to be motoring along fine. Of course, in these erratic and unstable markets, things can change very quickly. Continue to watch the VIX 14 level as a bull-bear market gauge. VIX begins at 14.49 today. If VIX drops under 14 it will be clear that the bulls are taking the markets back to the all-time highs again. If VIX stays above 14, the markets will continue to develop a sick malaise moving forward.

For the SPX starting at 1583, the bulls need to touch the 1598 handle to accelerate the upside and likely begin the trek to the 1620's.  The bears need to push under 1581, less than two points lower, and a downside acceleration will occur. A move through 1582-1597 is sideways action today. Markets may react violently, up or down, to the ECB rate decision in less than two hours. Bulls want VIX 14.  Bears want SPX 1581.

5/5/13; 7:00 PM EST =

5/3/13; 9:00 AM EST =

5/1/13; 9:36 AM EST = +32; signal line is +31

4/30/13; 7:00 PM EST EOM = +46; signal line is +32

STOCK MARKET BULLISH -- LONG -- CAUTION

Keybot the Quant remains long as the algo prints a number after the opening bell due to the higher volatility. The VIX is above 14 creating market weakness but the bears do not yet have the juice to cause a move to the short side. The algo number and signal line are now only one point difference. The SPX LOD is 1590 remaining above the 1586-1587 level that is important support for today.

5/3/13; 9:00 AM EST =

5/1/13; 9:36 AM EST = +32; signal line is +31

4/30/13; 7:00 PM EST EOM = +46; signal line is +32