Today’s screencast is a follow-up to Friday’s screencast in which we discussed the sentiment situation. Some more data and articles came out that point towards a build-up of bearish sentiment. In particular, Barry Ritholtz notes how when Wall Street analysts become bearish it s worth taking note. Analysts have reacted skeptically to better-than-expected earnings with the belief than weak revenue growth and a sputtering economy would eventually lead to disappointment down the road.
Posts mentioned in the above screencast:
Are Wall Street analysts contrarian indicators? (Big Picture)
Wall Street analysts are historically bearish. (Bloomberg)
Is earnings optimism for the S&P 500 justified? (dshort)
Do P/E ratios matter any more? (WSJ)
The “dumb money” is bearish. (The Technical Take)
Stocks may be ready for rebound as bulls retreat. (USA Today)