AAII bulls came into today at only 22% while bears are at 56%! This is the most bearish sentiment since the March bottom which obviously is very good news for the bulls. Now, if only everything else could fall into place here....
Again we gapped up (which is so annoying) but this time tech is leading (but is it a 1 day wonder due to Cisco?) which makes it more likely than yesterday for the gap to hold this time. Bonds are still weak though.
This is such a frustrating situation for me given all the mixed signals...I hate when this happens! the current AAII reading gives solid evidence the slide in the market we've seen since late October is just a correction. In fact, it's bearish enough to suggest that it's over! But the missing links I discussed earlier and this gap up action keep me at back and I might end up missing the boat here as a result. I just can't bring myself to chase this gap opening.....I FUCKING HATE CHASING GAPS!
The ideal senario would be for the market to retest the lows or make a lower low, with bonds, the VIX and the put/call ratio surging. Of course this is the ideal situation which often doesn't come to pass....
Frustrating times for me!!!
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