Wednesday, March 03, 2010
A Glance at Stock Market Sentiment
The CBOE Put-Call Ratio has come off recent elevated levels (which were a great tell for the recent market strength) and have gone slightly below average, suggesting a switch to relative bullishness. We're not quite seeing the low levels that have been associated with recent market tops, however.
Meanwhile, we've hit new highs in the advance-decline lines for several major stock market averages and new 20-day highs have continued to expand to over 2500. My Cumulative Demand/Supply Index has also hit new highs for this swing; it tends to top out ahead of price, suggesting that we could see further price highs in the days ahead.