Interesting Bullish chart from Helene Meisler:
"And now we have yet another ‘there are too many bears’ sentiment indicator to
add to the mix. This time it’s the NYSE Members Short Ratio. This ratio has come
down to 46%. There is nothing magical about 46% per se, but we rarely get down
to this mid-40s range. In August of last year (at the lows) we reached 47%.
Prior to that we had a reading of 44% in December 2003 that preceded a run 200
points higher on the Nasdaq over the next two months. And the
S&P went up over 10% in the same time frame. The other two times we’ve
seen this ratio down in the mid-40s range was March 2003 and September 2002."
A good contrary sentiment indicator.
The Market’s Rally Window Is Narrowing (subs)
RealMoney.com, 5/2/2005 9:06 AM EDT