Mark Hulbert: The slope of hope

[HenryTo]

Okay - as evident by this morning's signal, I am the worst intraday timer there ever is and there ever will be. But this following commentary from Mark Hulbert at www.marketwatch.com is definitely cause for concern for the bulls.
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The slope of hope

By Mark Hulbert, MarketWatch
Last Update: 12:01 AM ET June 13, 2005

ANNANDALE, Va. (MarketWatch) -- The contrarian-based foundation of the stock market's two-month-old rally continues to erode.

In fact, given the extent to which investment newsletter editors have turned bullish in recent weeks, as well as the speed with which they have done so, I'd have to classify the current sentiment environment as more bearish than bullish.

That's because bull markets like to climb walls of worry, and bear markets like to descend slopes of hope.

And in recent weeks, worry has fast been giving way to hope.

Consider the Hulbert Stock Newsletter Sentiment Index (HSNSI), which measures the average stock market exposure among a subset of short-term market timing newsletters monitored by the Hulbert Financial Digest. As of Friday's close, the HSNSI stood at 39.3 percent.

At the stock market's mid-April low, in contrast, the HSNSI stood at negative 28.3 percent.

Original link: http://www.marketwatch.com/news/story.asp?guid=%7BFADB73CC%2D3843%2D4976%2D98FC%2D1B886EB43DD1%7D&siteid=mktw&dist=

[HenryTo]

Thanks, Dubious. Looks like you're in the zone right now - hats off to you!

Market definitely doesn't look so great right now. ARMS Index closed at a reading of 0.68 for the day - the lowest reading in about three weeks. The 10 DMA and the 21 DMA plunged to readings of 1.08 and 0.99, respectively. Equity P/C ratio closed at 0.61 - not as overbought as Thursday and Friday's readings but definitely up there.

Too much complaceny in the face of market weakness here, especially given the high bullish sentiment readings on Mark Hulbert's HSNSI survey.

[Dubious]

Henry I am zoned into the market right now.

If you want to bounce some stuff off me please pm me.