There was an issue last weekend with Sentimentrader.com, the all-things sentiment website I subscribe to for the contrary goodies. So I flew blind this week and indeed, ST still has not updated some important surveys like those of the Investors Intelligence newsletter writers and NAAIM investment managers. The structure was bearish (these guys were increasingly bullish) at the end of October, but allowed for another pulse higher, which we are now getting.
Now, the king of Kontrary, Mark Hulbert checks in with this, to be referenced as we climb higher on raw momentum and emotion.
Whiplash
"The most bullish development that could happen from here, from a contrarian point of view, would be for the short-term market timers to quickly run for the exits in the wake of the market’s next correction. In that event, odds would increase that the decline would only be a mild one and that new bull market highs would be imminent.
It would be quite bearish, in contrast, if the market timers remained stubbornly bullish in the face of any market weakness. If that is how they behave, then a more serious decline becomes more probable."
