
Mike Larson | Editor-in-Chief
Markets have healed a bit. The psyche of investors and traders? Not so much!
That’s the conclusion you reach when you look at multiple measures of investor sentiment. Since I’ll be attending the Stocktwits Cashtag Awards Wednesday evening in New York, let’s use THEIR indicator – the Stocktwits Sentiment Index – for the MoneyShow Chart of the Day.
Not much bullishness there. As of late last week, it was still at its highest (most bearish) level since the index was launched in 2018.

Source: Stocktwits
What about CNN’s Fear & Greed Index? It rose a BIT last week from the “depths-of-despair” levels it was hanging out in the week before. But three of its seven component indicators were still in “Extreme Fear” territory. Only one was in the “Greed” zone.

Source: CNN
As for the investors who participate in the American Association of Individual Investors (AAII) weekly poll? They tip-toed a BIT further out of the bear cave in the last week. The bearish percentage slipped to 55.5% from the 61.9% peak we saw at the beginning of April. But on a historical basis, these are still VERY elevated levels.
Just as bullish sentiment readings don’t always signal an imminent market top, bearish sentiment readings don’t guarantee a bottom is in. But these do fall in the “potential contrarian indicators” category. And this is a market that can use all the help it can get after a rough couple of months!
When the markets get volatile, the pros get strategic. In this exclusive panel from the 2025 MoneyShow Masters Symposium Dallas, two of the industry’s most respected traders — Dr. Alan Ellman (The Blue Collar Investor Corp.) and John Carter (founder of Simpler Trading and author of Mastering the Trade) — team up to unpack real-time strategies for navigating extreme volatility using options trading.
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Traders are betting that “JJ” will be under real pressure to cut rates IF the labor market unravels. Meanwhile, gold has been on a tear as the ultimate safety trade, but it’s also experiencing a bit of back and forth trading. And while the tone is better for the S&P 500 Index (SPX), we know how fast that can change, explains Kenny Polcari, chief market strategist at SlateStone Wealth.
It’s time to catch up on Weekly Trend Following positions, the 52-Week Strategy, and the ProShares Ultra S&P500 2X Shares (SSO). We looked at this last week, but the indicator didn’t close above zero when the screens were switched off for the weekend, notes Ian Muprhy, founder of Murphy Trading.
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