Why You Should Be Worried By Today’s Huge Amounts of Stock Market Investor Margin Debt

ByBrad Lamensdorf

Why You Should Be Worried By Today’s Huge Amounts of Stock Market Investor Margin Debt.  As you can see from the chart below, margin debt is extraordinarily high, even after the pull back from the recent liquidation.  In fact, the sum total of  investor negative credit balances are huge, even compared to days of the…

Short-Term Sentiment Indicators on Stock Market Suggest Caution

ByBrad Lamensdorf

Short-Term Sentiment Indicators on Stock Market Suggest Caution.  We use investor sentiment as contrarian indicators on the direction of the stock market because historically the average investors is wrong. Intermediate sentiment indicators last week and again this week remained neutral.  That means we can derive no guidance from them in terms of intermediate-term stock market…

Sentiment Indicators Not Saying Yay nor Nay on Stock Market Direction

ByBrad Lamensdorf

Sentiment Indicators Not Saying Yay nor Nay on Stock Market Direction. We use investor sentiment as important  indicators for guidance on the direction of the stock market. But there are times sentiment indicators can tell us little or nothing. For example, as you can see from the chart below, the SentimenTrader’s Smart Money/Dumb Money Confidence…

Collapsing JP Morgan Stock is Signaling Wall Street’s Worst Fears for the Economy

ByBrad Lamensdorf

Collapsing JP Morgan Stock is Signaling Wall Street’s Worst Fears for the Economy.  As the chart below shows, JP Morgan’s share price is about to break through March lows. That means expectations are shares could go substantially lower amid analyst forecasts that earnings may fall 50% in 2020.  In fact, many analysts are predicting earnings…

Unrelenting Negative News in Media is Bullish for Stock Market From Contrarian Viewpoint

ByBrad Lamensdorf

Unrelenting Negative News in Media is Bullish for Stock Market From Contrarian Viewpoint.  We use investor sentiment as a contrarian indicator on the direction of the stock market because historically they are wrong.  So, it is no wonder investors have been so skittish about the market in the face of  unrelenting negative news in the…