Replies to post #5273 on Strategy Central

[Little Chico]

Sentiment Indicator....


Ken,

Since sentiment is a "contrary indicator," I would interpret the sentimentindicator.com chart as technically bullish whenever it registers a pessimistic reading. Excessive pessimism always predicts a bullish turn. But how excessive does it have to be before the market responds?.... When it gets about two thirds up the column, or two thirds down (in the reverse situation) the market generally reacts. This, I have found, is quite reliable.

Chico