Intermediate Market  Sentiment Indicator  Says “Be Cautious”

Intermediate term market sentiment indicator  is  flashing warning signs to be cautious.  The Investors-Intelligence polling of more than 150 market newsletter writers shows they are very optimistic. That is a warning sign from a contrarian point of view since they historically are wrong. Some 62% of the newsletter writers were bullish and only 18% were bearish. Meanwhile, the Ned Davis Research (NDR) Crowd Market Sentiment was at 68, very close to 70, which triggers a sell signal.

Meanwhile, short-term market sentiment remains neutral, which doesn’t give us guidance about market direction. The CNN Fear & Index is at 46 and the NDR short term market sentiment composite is at a neutral 58.

Intermediate Market  Sentiment indicator  Say “Be Cautious”

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