Behold the beauty of this title: Investors Most Optimistic on Stocks in 3-1/2 Years in Poll
I was reviewing this morning’s news items the above headline stuck out like a sore thumb.
A little stroll down memory lane:
In May of 2012 NFTRH 188 used this graph among other indicators to get bullish on a risk vs. reward basis, stating “and then there is this beauty… the dumb money has lurched hard to ‘risk off’.
Smart/Dumb money confidence, May, 2012
I personally took some pretty good grief for writing Dumb Money Sold in May and Went Away over at Contrary Indicator Central – AKA the Seeking Alpha comments system – to the version of the article published at SA. The most memorable of the responses by defensive bears was “Gary = Dumb Investor”. I considered these comments to be of great value, because to be an effective contrary market player you must, almost by definition, appear dumb to most people a lot of the time. [Read more...]