Legendary analyst Paul Montgomery once said: “The most bullish thing the stock market can do is go up.” The S&P 500 printed a fresh all-time high today for the first time since July. Despite this bullish development, investors remain cautious. The combination of stocks breaking out and bearish sentiment could fuel the next leg of […]
Evidence On Both Sides
If we were witnessing a real trial-by-jury (which, at the end of the day, is actually what the market is), I think it’d be safe to say that bears and bulls both have pretty solid evidence to put forth in their favor. Yes, there have been sub-industries that have done well and that we have […]
Chart of the Day – Wednesday, August 28th, 2019
Today’s Chart of the Day was shared on Twitter by Troy Bombardia (@bullmarketsco). It’s a chart of the S&P 500 ($SPX) with a proprietary sentiment indicator below it. Troy points out that sentiment is excessively pessimistic even though the S&P 500 is above its 200-day moving average and less than 5% off of its all-time high. […]
Getting Sentimental
While on the surface Technical Analysis seems to be mainly about drawing lines on a piece of paper (or these days, a computer screen), the practice actually goes much deeper. There are other sub-studies, such as Seasonality, and understanding the human behavioral ticks when it comes to trading and investing. However, another topic that is […]
Chart of the Day – Thursday, August 8th 2019
Today’s Chart of the Day was shared on Twitter by Willie Delwiche (@WillieDelwiche). It is a chart of the latest AAII Sentiment Survey results with the percentage of bulls in green, and the percentage of bears in red. Willie notes that the percentage of bulls fell drastically this week from 38% to 22% while the percentage of […]
