coolhand's Account Talk

[coolhand]

The latest NAAIM reading shows the mean average rising about 4 pts. which keeps the sentiment bullish. The bears remain fully short and fully leveraged and the bulls remain fully long and fully leveraged. The trend has been up and these money managers remain collectively bullish, but the bearish positions continue to suggest some volatility.

 

[coolhand]

So, it's 2:26 EST right now and NAAIM has still not posted this week's numbers. They typically post by noon. Just so you know.

 

[coolhand]

I don't know when the NAAIM Exposure Index was finally updated, but it was well after the market was already closed. In any event, the mean average moved only a fraction of a point, which keeps sentiment bullish for these money managers. The bears were fully short and fully leveraged last week (last 2 weeks, actually) and this week they remain fully short, but with ZERO leverage. So they aren't overly committed to the downside right now. The bulls remain fully long and fully leveraged.

Since the reading is bullish overall, I would expect the market to remain buoyant and maybe tack on some gains over the next few days, but this market is a bit volatile right now and with precious metals continuing to hit new highs I suspect there may be some panicking going on at the top of the food chain as it feels like something may be starting to break. There is a lot going in the precious metals market right now, especially with silver. Be alert for changes in stock market behavior.

 

[coolhand]

I didn't realize I didn't post last week, but the reading remained bullish and there were no notable changes in trader positions. This week, the mean average rose more than 10 pts and that puts it in very bullish territory. The bears (what few remain) are fully short with NO leverage. The bulls remain fully long and fully leveraged. So, these money managers are leaning very heavy to the upside (bullish)

 

[coolhand]

The latest NAAIM reading shows the mean average dropping almost 11 pts. That takes the reading from very bullish to bullish. The bears were fully short with no leverage last week and this week they are flat. The bulls remain fully long and fully leveraged. So, I expect this market to continue to be resilient and at some point maybe even hit new highs (S&P 500).

 

[coolhand]

The latest NAAIM reading shows the mean average dipping a bit more than 2 pts. That keeps the reading bullish. No real changes in the numbers, just some shuffling around. The bears remain flat and the bulls remain fully long and fully leveraged.

 

[coolhand]

So, the market is sending traders scrambling right now. A decent early rally has now turned down rather hard and where we end up at the end of the day remains to be seen. With that said, the latest NAAIM reading shows very little change in the mean average, which dipped a little over one point. That keeps the reading bullish. But the bears are now starting to short the market showing fully short positions, but ZERO leverage. So, they are not committed to the down side; they are just spreading out risk. The bulls remain fully long and fully leveraged.

This reading gives mixed feelings when your emotions are starting to get tested. This reading is dated Wednesday (yesterday), so today's action may change things for NAAIM, but even if it does we don't have any info in between these weekly readings. And we still don't know where the market ends up at the close.