Bearish investor sentiment, however, quickly abated as positive U.S. economic data, combined with broader acceptance of a «lower for longer» interest rate environment, drove stock returns higher.
Not exact matches
By contrast, traders (hedge funds) and small
investors are expressing historically high levels of
bearish sentiment (both groups are known for following trends and being wrong at turning points).
One of those inefficiencies includes finding overly bullish or overly
bearish sentiment in a security, which often reflects herd mentality and causes
investors to put down their guard.
The
Investors Intelligence percentage of bearish investment advisors is back below the important 30 % level, while the AAII investor sentiment survey reports just 11 % of individual investors are bear
Investors Intelligence percentage of
bearish investment advisors is back below the important 30 % level, while the AAII
investor sentiment survey reports just 11 % of individual
investors are bear
investors are
bearish here.
Reading Time: 5 minutes Many
bearish investors have become obsessed with being negative about stocks on the grounds that
investor sentiment was at an all - time high in January
For the U.S. market, they define
investor sentiment using an American Association of Individual
Investors (AAII) value index (percent bullish minus percent bearish), derived from a weekly survey of individual investors regarding their outlook for U.S. equities over the next six months and published before the market open on T
Investors (AAII) value index (percent bullish minus percent
bearish), derived from a weekly survey of individual
investors regarding their outlook for U.S. equities over the next six months and published before the market open on T
investors regarding their outlook for U.S. equities over the next six months and published before the market open on Thursdays.
For the German market, they define
investor sentiment using the Sentix value index (percent bullish minus percent
bearish), derived from a weekly survey of institutional and individual
investors regarding their outlook for German equities over the next six months and published on weekends.
While this is definitely a «turbulent» period for Apple and its
investors, Ives believes that the
bearish sentiment «has swung too far now»
There were a number of key developments that seemed to impact
investor sentiment in support of either a bullish or
bearish outlook.
One can look at the
Investors Intelligence bullish
sentiment figure, which has eased back to 43 % from over 50 % in early April, but ignore that
bearish sentiment is down to 20.4 %, less than half of the bullish
sentiment figure, and the lowest level since just before the 2011 market rout.
Just a reminder:
INVESTOR SENTIMENT SURVEYS: DO N'T BE TOO SENTIMENTAL!The
bearish reading is more important.
As Bitcoin and the cryptocurrency market get pressured by a
bearish sentiment based on the technical pattern known as «death cross»,
investors are also aware of the mixed signals coming from big banks regarding the asset class — with great focus on Bitcoin and Ripple.
Maybe they were just plain too
bearish, based on surveys showing the most negative
investor sentiment in place since November.2 Maybe they forgot the saying that bull markets climb a wall of worry...
due to the opportunistic nature of contrarian
investors it would be interesting to see the analysis (and yes I shall do it myself:) of contrarian performance in slightly different scenario: — reaching (minus)-10 % performance in 6 months after bullish
sentiments — reaching (plus) 10 % performance in 6 months after
bearish sentiments
The name is derived from the common use of «bear» or
bearish in the language of Market
sentiment to reflect the idea that
investors expect downward price movement.
As 2017 drew to a close,
investors were largely split across bullish,
bearish, and neutral views about the stock market.1 Since then, there has been a notable spike in bullish
sentiment with the majority of
investors now envisioning good things for the markets.
One noticeable improvement has been
sentiment, which has worked off some of the recent bullish levels and moved closer to levels associated with bottoms as both active money managers and retail
investors turn overly
bearish.
Another sign of
bearish Western
investor sentiment was the draining of gold from ETFs.
At any moment in time, if
sentiment is extremely bullish /
bearish, some
investors may want to go short / long in anticipation of a reversal of how market participants feel.