Monday, March 14, 2005


As we near the middle of March with last week's report of the seasonal dangers ahead, the Sentiment Indicators I follow are at best mixed: the CBOE Equity put/call ratio at 65 is the highest since the Jan.'05 liftoff rally, the Nova/Ursa ratio at 25 keeps making short term lows, and the Public/Specialist shorting at 1.86 rises with the recent high being 2.28, again at the Jan.21 liftoff. The McClellan Oscillator (ratio-adj.) is -46 this week, getting near Buy levels. Bearish signals include newsletter surveys with the I.I. spread at 55.7/21.6, and the Market Vane numbers similarly complacent. The S&P 500's Bullish percent's Pt.& Fig. chart has been on its 3-box (6%) SELL signal since it crested at yearend.

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