Keystone's Morning Wake-Up 12/5/13; ECB; GDP

The BOE and ECB leave rates unchanged and the news is more muted than expected although Draghi continues his talk. GDP is much better than expected, and Jobless Claims are very low, so traders sell the futures thinking QE tapering is back on the table.  Isn't is sickening that everything has to be viewed from the Fed's easy money perspective? Despite all the recent drama, the SPX moves through a sideways channel range of 1782-1808 for the last 3 weeks. Keybot the Quant remains short and the same parameters remain in play determining market direction; JJC 39.67, GTX 4809, UTIL 482.94, UTIL 491.25, VIX 13.95 and XLF 20.90. The bulls need higher copper (JJC 39.67), utilities (UTIL 491.25) and/or lower volatility (VIX 13.95) to verify an extended move back above SPX 1800. If 1 of these 3 parameters turn bullish, and the SPX moves above 1800, and stays above, Keybot will likely flip long. The bears need lower commodities (GTX 4809), lower utilities (UTIL 482.94) and/or lower financials (XLF 20.90) to push markets lower.

For the SPX today starting at 1793, the bulls need to push above 1800 and it is blue sky and rainbows above. The bears need to push under 1779 to lock-in a downward acceleration. A move through 1780-1810 is sideways action. Watch the 8/34 cross on the SPX 30-minute chart and the 200 EMA cross on the 60-minute chart as described in this morning's missives. Copper and commodities are weak this morning so JJC should remain bullish and GTX may stumble into the bear camp. Watch GTX 4809. S&P futures are -3.5 starting out in the middle range. Key S/R is 1814, 1807-1808, 1803, 1798-1799, 1796, 1791, 1788, 1782, 1777-1779 (yesterday's low and the 200 EMA on the 60-minute), 1775 and 1772. Note the dollar/yen dropping towards 102, thus the stronger yen sent the NIKK lower overnight and creates weakness in equities today. The search box for this site has been removed from the right margin since GOOG cannot yet fix the bugs. The search box will return once the programmers get it working again.

Note Added 9:35 AM:  Status quo so far. The bulls hold GTX above 4809. The SPX tests 1788 S. Volatility flat. TRIN drops to 0.88 giving the bulls the nod. The 10-year yield is buoyant at 2.86% so this creates weakness in utes with UTIL at a 486 handle remaining between the key 491 and 483 levels.

Note Added 9:44 AM:  TRIN is now unable to pick a side sitting at the neutral one.  GTX 4816. UTIL dropping now at 484.73.... 484.56 .. approaching the trap-door at 482.94.