Is the market ready to crash?

 

Investors' optimism has reached extreme levels. (See above chart).

This level of optimism among investment advisors is high and is a warning signal.

The level of insiders' selling is also very high, usually found ahead of a correction.

Is this the time to be more cautious? Time will tell.

More details on how these ideas apply to portfolio management are found in The Peter Dag Portfolio on www.peterdag.com
 
George Dagnino, PhD
Editor, The Peter Dag Portfolio
Since 1977
Author, Profiting in Bull and Bear Markets

No. 1 bond timer in the past 12 months. 

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