Short term sentiment gauges have begun to bounce from their recent oversold positions. NDR short term sentiment is at 44,
up from the low 20’s. However intermediate term indicators, such as Investors Intelligence which currently stands at
48 bulls and 15 bears, failed to reach an oversold range. Had the indicators reached an oversold range, it would have suggested that a long-term bottom was in place.
The CNN fear -greed gauge is a bit more short-term. This indicator remains in the bullish range, as short-term fear remains
on the high side. Continued bouncing is needed in the short term in order for these gauges to return to a position of optimism.
By Brad Lamensdorf