A number of Sentiment readings have reached levels which have previously indicated capitulation.
Investors Intelligence
In the Investors Intelligence poll last week the ratio of Bulls to Bears fell below 1 meaning there are more Bears than Bulls. This often marks capitulation.
AAII
In the AAII public poll the four-week moving average of nett (Bulls minus Bears) has fallen to a level that has previously marked capitulation
Fund Flow
The black line is the four-week Equity Fund flow (inc ETF) as reported by lipperusfundflows.com. This number reached a historic -$93.3 Billion as of last week representing a massive outflow of funds.
Rydex Ratio
My version of the Rydex Assets Ratio fell to 5.60 on Tuesday, the lowest since July 2016. Since the market low on 12/26 the ratio has fallen as the market has rallied. That’s encouraging.
