Keystone's proprietary trading algo, Keybot the Quant, flips to the bull side today at SPX 5667. Commodities jump into the bull camp and the cyclical bull/bear lines in the sand, NYA 19295 and SPX 5666, are taken out to the upside by the bulls that give strength to the relief rally. Chairman Powell is on deck for hump day afternoon so the markets are theatrics until the Fed tells everyone how to trade.
Watch VIX 16.89. If stocks rally, but the VIX cannot fall below 16.89, the rally is garbage and will roll over and die. If VIX drops below 16.89, the relief rally in stocks is locked-in and headed higher. Powell is picking up his dovish wings at the cleaners tonight and also his necktie from the last meeting that had a jelly stain from the free buffet.
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