Posts Tagged ‘investor sentiment’
Don’t Fight the Fed
Ask any market technician about the late, great, Marty Zweig and you’ll hear about a time-tested set of trading rules that are just as relevant today as they were when Marty first put pen to paper. For example, the #1 rule: The trend is your friend, don’t fight the tape. This is at the very…
Read MoreThis Is a Market of Stocks – Not a Stock Market
Have you noticed that the financial media can’t get enough Doom & Gloom? Every headline is another big loser. Another miss. Another crash. The media knows what buttons to push – they’re masters at it. And they’re up to their old tricks again… I hope you’re not falling for it. Let’s break the cycle starting…
Read MoreAre Investors Too Optimistic?
Stocks rallied last week into last Friday’s close – an encouraging development! But dare I say… investors are optimistic. You see, if you’ve been paying attention, you’d know that many Fridays this year have experienced sizable sell-offs. Why? Because traders wanted no part in holding positions over the weekend. The risk was too great. What…
Read MoreHere’s What an Aggressive Fed Means for the Housing Market
Following last Thursday’s very impressive upside move, investors were looking for confirmation with some follow-through on Friday. Unfortunately, that never happened… All the excitement and talk of engulfing patterns and upside reversals were all for naught, as stocks did what they have done many times throughout the bear of 2022… They sold off. Inflation data…
Read MoreWatch What They Do, Not What They Say
Investor sentiment can be a valuable contrarian indicator. The idea is that when everyone is either too Bullish or too Bearish (as they are now) it implies that it may be time to consider the other side of what the majority is thinking. We gauge the level of Bullishness/Bearishness through sentiment surveys… and when levels…
Read MoreWhen Seasonal Patterns Fail, Take Notice
March’s epic bounce in the S&P 500 and NASDAQ offered promise – that is, until it didn’t. With all the noise, both the S&P 500 and NASDAQ are right back where they were a month ago, and heading towards the March lows. But why? Both indexes have given back nearly all of March’s gains and…
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