Below public chart for those of you who use the NAAIM for sentiment.
https://stockcharts.com/h-sc/ui?s=%2...0c&a=340963748
Printable View
Below public chart for those of you who use the NAAIM for sentiment.
https://stockcharts.com/h-sc/ui?s=%2...0c&a=340963748
Argus Research 9/17 note:
Quote:
Most sentiment indicators have backed off a bit from bullish extremes, but we think more is needed. The NAAIM Exposure Index is the exception, crashing to 53% from 107% in just two weeks. That’s the largest percentage point decline since March and one of the biggest exposure shifts in recent years.
NAAIM now at 102, only 3 points away from it's August top reading. Speculators have already poured back in the market.
This means there is very limited fuel on the sidelines from a sentiment standpoint.
NAAIM at 69.2. Plenty of fuel for a rally as large funds will be forced to get back on the Q4 performance train.
Huge jump to 96. No longer at buy levels, and leans more bearish than bullish.
Levels now euphoric at 105. A cooling can be expected. How much has the market over-hyped black Friday this year?
After a high 3 weeks ago at around 113, NAAIM is now in the 80's - levels not seen since Sept, Oct, and early Nov.
A reading of 80 is a bit more neutral than than bullish, but provides enough leeway for additional money to enter markets.
Another massive jump to 108. This reading was last seen on 1/19/21 and 2/8/21. Prior to that, a reading of 108 had not been seen since December 2017 and that served as an early warning.
Sentiment and NAAIM seems to have played out.
Right now NAAIM is at 65 which is closer to a bottom than a top. September-October 2020 saw readings in the 50's before a turn higher.
David Keller, CMT, Stockcharts.com
https://twitter.com/DKellerCMT/statu...24797744422916Quote:
NAAIM exposure index has gone from 50% to almost 100% long in the last two weeks. Rydex flows at all-time lows (inverted on this chart). Frothy.