Tuesday, February 01, 2022 9:19:32 AM
The recent weeks market action has washed out a lot of traditional speculation.
This is the first time my Speculation Index has dropped to "bullish" levels since June of 2020. Market valuations are still on the high side, but at least speculators are being a bit more cautious. I also don't like the continuing new IPO/New Issues levels. They are still elevated and bearish. There are now over 9100 stocks being traded on the NASDAQ and NYSE each week. Compare that to just 7100 at the beginning of 2021. 2000 more issues to study and perform diligent research. How many speculators did such work before buying these newbies?
So, while my Speculation Index shows a nice low value, that's for the existing traditional markets of established companies. The Speculators have just moved their activity to the IPO/New Issues markets.
Best wishes,
OAG Tom
This is the first time my Speculation Index has dropped to "bullish" levels since June of 2020. Market valuations are still on the high side, but at least speculators are being a bit more cautious. I also don't like the continuing new IPO/New Issues levels. They are still elevated and bearish. There are now over 9100 stocks being traded on the NASDAQ and NYSE each week. Compare that to just 7100 at the beginning of 2021. 2000 more issues to study and perform diligent research. How many speculators did such work before buying these newbies?
So, while my Speculation Index shows a nice low value, that's for the existing traditional markets of established companies. The Speculators have just moved their activity to the IPO/New Issues markets.
Best wishes,
OAG Tom
Buy from the Scared; Sell to the Greedy.....
Join the InvestorsHub Community
Register for free to join our community of investors and share your ideas. You will also get access to streaming quotes, interactive charts, trades, portfolio, live options flow and more tools.
