GIVE NO QUARTER:

Now that the funny money of end-of-quarter window-dressing is over, a new quarter is upon us. Although an oversold rally is due the market, especially from the last day of a month to the 4th of the next (including a usually-positive Holiday) we could see a rally off the many Sentiment readings predictions:
The ratio-adjusted McClellan Oscillator is near its May '04 lows at -61; and the Summation is getting there at -521. The VIX in the mid-20s could get a little higher and the Bullish per cent (at 33) could go lower before we get the major bottom in the market.
Both the AAII and Inv.Intell. bull/bear ratio are bullishly inverted. Short interest and Public vs. Specialist shorting is high, although legal corporate selling has dropped, with Finance doing the most buying, Energy the selling. Energy has seen much selling since February; Finance has seen much buying even before last November.
Louise Yamada, reporting in Barron's, looks for much more downside in Financials, however. She was certainly prescient in her Gold call awhile back.
Here are the statistics:

MktSentiment. 6/27/2008 Prev. Week.....5Yr.HI......LOW

DJIA ………. 11346……….11842………..14093............7286
Nasdaq………. 2315…………2406…………2810.............1114
S&P500…….. 1278…………1317…………1561………..776
CBOE Eq. put/call …73……………82……………..92-1/08….....46-1/03

VIX ………. 23.4…………22.8…….…….44.. 9/02 bu..10.0-7/05 br

McClellan Osc………..-70………..-61……………91-5/04 br...(-81)-5/04bu
McClelSum……….…-521…………..-194…………..1568-6/03.......-917

Newsletter Surveys:
Inv.Intel -Bull:…..…33.7…………36.3……….…12/04br......35-6/06bu
Bear:………… 39.3…………37.4………… 38.2-3/03.......16-6/03

AAII-Bull/Bear ……31.3/52.3…….33.0/45.7……..n/a n/a
IBD: Short Interest- 13.7………..15.0nh…………15.0………. 4.0
Public/NYSE Spec.-…17.4……….13.7…….….21bl…………..1.0br
Bullish%- ………….33……….40…….…88 -2/04br.....19bu
*Insider corporate sellers.8:1…….14:1………..97…………..5
Sectors: Most Buyers: Finance Most Sellers: Energy

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GIVE NO QUARTER: