Click to Enlarge “Dumb money” sentiment is also off the charts, while the “smart money” investors keep pulling back.
Look at this: The percentage of assets in Rydex funds that are in money market accounts has dropped below the lows seen as the last bull market was peaking in 2007.
Or this: NYSE margin balances have surged to levels not seen since the dot-com bubble was peaking in 2000. That’s unsustainable.
To sum it all up, just look at the chart above. The percentage of bears in the Investors Intelligence Survey has set a new record low — falling below any point since the late 1980s.