Who’s more scared right now, bulls or bears?
Over the last few months, I’ve asked you guys several times to answer the following question — and every single time, the results of the poll have indicated the next moves of the market (see for example: Who’s more scared right now, the bulls or the bears?, Have we really bottomed?…, Who’s more scared right now, the bulls or the bears?, Who’s more scared right now? The bulls or the bears?):
For more than a decade, I’ve asked this question of readers and it’s been probably my most reliable market indicator. Apple, Google, Nuance and a few select tech stocks sure are on fire. But the then again, Oracle and Acme Packet sure have got earnings fears high. And what about the financials like Goldman and JPM that can’t get a sustained bid for anything?
When the poll results are overwhelmingly that the bulls are more scared the bears, the markets are usually about to take off on a big rally. And when the poll says the bears are much more scared, the markets are usually about to tank. And yes, when the results are 50/50, the markets typically muddle along for a few weeks.
So let’s ask the question once again — as we start the new year, who’s more scared, the bulls or the bears?
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