"Water shapes its course according to the nature of the ground over which it flows; the soldier works out his victory in relation to the foe whom he is facing. Therefore, just as water retains no constant shape, so in warfare there are no constant conditions."
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Sun Tzu

Friday, February 14, 2014

Sentiment: Why Prices can Move Even Higher in the Short Term

Investors are not overly bullish yet, even after the recent rally in US stocks. The equity put/call ratio is still recording at relatively high levels, which is good news for the bulls: high values represent an excess of fear in the market, which is important fuel for higher prices.