INVESTOR SENTIMENT REMAINS MIXED
Sentiment readings were again mixed this week as the Investor’s Intelligence poll remained near very bearish level and the AAII poll reversed sharply. Bullishness in the II poll was little changed this week at 38%. Although far from extreme bearishness, this level of optimism is consistent with an oversold market, but does not necessarily signify that all is clear. The majority of the reliable short-term buy signals have coincided with lower levels of bullishness.
The AAII poll showed a sizable increase in bullishness. Optimism jumped 8% this week to 42.5%. The average reading is 39%. Charles Rotblut at AAII elaborated on the data:
“Though the numbers show a higher level of optimism, I would describe the results more as signaling a decrease in fear. The short-term bottom that is being established in the markets is giving investors hope that the worst of the correction is past us. Nonetheless, bearish sentiment is above its historical average for the sixth consecutive week and confidence remains fragile”
——————————————————————————————————————————————————
The content on this site is provided as general information only and should not be taken as investment advice. All site content shall not be construed as a recommendation to buy or sell any security or financial product, or to participate in any particular trading or investment strategy. The ideas expressed on this site are solely the opinions of the author(s) and do not necessarily represent the opinions of firms affiliated with the author(s). The opinions of all guest authors or contributors can and will differ from those of Mr. Roche. These opinions do not necessarily represent the opinions or investment decisions of Mr. Roche. The author(s) may or may not have a position in any security referenced herein and may or may not seek to do business with one another or companies mentioned via this website. Any action that you take as a result of information or analysis on this site is ultimately your responsibility. Consult your investment adviser before making any investment decisions.
A brief note on comments – The increase in users in recent months has resulted in an increase in unproductive comments. Any user who engages in the use of racial epithets or uses the comment section as a place to insult other users will be banned from the site. The comment section is welcome to all readers who are interested in asking pertinent questions and/or engaging in thoughtful, intelligent, and productive debate. In short, just be nice. Thanks.
Post Footer automatically generated by Add Post Footer Plugin for wordpress.
More on this topic (What's this?)“A Major, MAJOR bottom”? (, 7/9/10)AAII Bull Bear Sentiment Graph for Aug 18, 2010 (Kirk's Market Thoughts, 8/19/10)AAII Bulls Minus Bears vs DJIA Survey Data and Graph for 4/29/2010 (Kirk's Market Thoughts, 4/29/10)August 5, 2010 – AAII Sentiment Survey: Bearish Sentiment Stays Above Its Historical Average (Stock Blog Hub, 8/5/10)
