Author: John Del Vecchio and Brad Lamensdorf

Market sentiment has shifted dramatically over the past month. As the chart below shows, The CNN Fear & Greed Index has surged from 23 (extreme fear) to 70 (greed) in just a month. The trend could continue and reach a level of extreme greed. However, given the pace of the shift in market sentiment, now…

If a picture is worth a thousand words, the one below says everything needed to know. We all know the debt situation is out of control. It does not portend a crisis. However, when the next crisis does rear its head, can the U.S. cope? No one knows. You may be able to drink 18…

Rarely do we see anything new in financial markets. While markets evolve, human nature does not. The same extremes occur over and over again. Those extremes are driven by fear and greed. Fear and greed are powerful emotions that cloud our better judgment. However, there is something new that has developed in 2023. Check out…

While market sentiment has hit extremes, it’s mostly the “dumb” Money that is feeling giddy and greedy. On the following chart, the red dots highlight periods of excessive optimism among the Dumb Money crowd versus the Smart Money crowd. While there have been a couple of periods of strong momentum that carried the market higher…