{"id":24411,"date":"2014-01-04T08:29:17","date_gmt":"2014-01-04T13:29:17","guid":{"rendered":"http:\/\/www.ino.com\/blog\/?p=24411"},"modified":"2014-01-03T17:29:33","modified_gmt":"2014-01-03T22:29:33","slug":"historic-optimism-in-the-stock-market-what-does-it-mean","status":"publish","type":"post","link":"https:\/\/wwwtest.ino.com\/blog\/2014\/01\/historic-optimism-in-the-stock-market-what-does-it-mean\/","title":{"rendered":"Historic Optimism in the Stock Market - What Does it Mean?"},"content":{"rendered":"<h3 style=\"margin-top: 0px;\"><span style=\"font-size: small;\">By: Elliott Wave International<\/span><\/h3>\n<p>How do you know when the market is getting ready for a change? This quote from Bob Prechter's best-selling book, <em>Conquer the Crash<\/em>, looks at investor psychology at extremes in the markets:<\/p>\n<blockquote><p><em>The engine of high stock market valuation is widely shared optimism. The greater the degree of the advance that is ending, the greater the optimism at its peak. Optimism also tends to remain strong in the early stages of a bear market.<br \/>\n<\/em><\/p><\/blockquote>\n<p>Today, how optimistic are market participants? Bob dedicated an entire issue of his <em>Elliott Wave Theorist<\/em> market letter to looking at the level of optimism in the markets today. These two charts, excerpted from that letter, show just a piece of the story. Learn how you can get the entire issue, with 15 eye-opening charts, for free.<!--more--><\/p>\n<blockquote><p>\"Charts tell the truth. Let's look at some charts ...<\/p>\n<p>\"Figure 9 shows that in the second-to-last week of October, the public poured more money into various U.S. stock funds than at any time in at least seven years, which includes the 2007 stock market top.<\/p>\n<p align=\"center\"><img loading=\"lazy\" decoding=\"async\" alt=\"\" src=\"\/\/www.elliottwave.com\/affiliates\/images\/EWT13-11-figure10.jpg\" width=\"514\" height=\"426\" \/><\/p>\n<p>\"All this stock buying has created a lopsided investment ratio among fund sectors. As shown in Figure 10, the percentage of money in Rydex's conservative money-market funds as opposed to speculative stock market funds is the lowest since 2001, which is just after the all-time high in the real value for stocks.\"<\/p>\n<p align=\"center\"><img loading=\"lazy\" decoding=\"async\" alt=\"\" src=\"\/\/www.elliottwave.com\/affiliates\/images\/EWT13-11-figure9.jpg\" width=\"594\" height=\"373\" \/><\/p>\n<\/blockquote>\n<p>These are just two of the 15 charts that you can see for free. For a limited time, Elliott Wave International is giving away a full issue of Robert Prechter's <em>Elliott Wave Theorist<\/em>. In this 10-page issue, you can see all 15 charts and decide for yourself whether the market is at an optimistic extreme. See below for more details.<\/p>\n<hr \/>\n<table class=\"body\" style=\"border: solid 5px #EAEAEA; padding: 10px;\">\n<tbody>\n<tr>\n<td valign=\"top\"><a href=\"http:\/\/www.elliottwave.com\/r.asp?acn=09ino&amp;rcn=aa393&amp;dy=aa010214&amp;url=http:\/\/www.elliottwave.com\/club\/15-Minutes-with-15-Charts.aspx?code=83565%26articleid=\"><img loading=\"lazy\" decoding=\"async\" alt=\"\" src=\"\/\/www.elliottwave.com\/images\/the\/web_ads\/ewt-pr2.jpg\" width=\"85\" height=\"150\" border=\"0\" hspace=\"5\" \/><\/a><\/td>\n<td valign=\"top\"><strong>See All 15 Charts from Bob Prechter's 10-Page Market Letter -- FREE <\/strong>Is the U.S. stock market at an optimistic extreme? See for yourself with this limited-time special offer.<\/p>\n<p><a href=\"http:\/\/www.elliottwave.com\/r.asp?acn=09ino&amp;rcn=aa393&amp;dy=aa010214&amp;url=http:\/\/www.elliottwave.com\/club\/15-Minutes-with-15-Charts.aspx?code=83565%26articleid=\"><strong>Download your free copy of Bob Prechter's November <em>Elliott Wave Theorist<\/em> now &gt;&gt;<\/strong><\/a><\/td>\n<\/tr>\n<\/tbody>\n<\/table>\n<div><\/div>\n<!-- AddThis Advanced Settings generic via filter on the_content --><!-- AddThis Share Buttons generic via filter on the_content -->","protected":false},"excerpt":{"rendered":"<p>By: Elliott Wave International How do you know when the market is getting ready for a change? This quote from Bob Prechter's best-selling book, Conquer the Crash, looks at investor psychology at extremes in the markets: The engine of high stock market valuation is widely shared optimism. The greater the degree of the advance that [&hellip;]<!-- AddThis Advanced Settings generic via filter on get_the_excerpt --><!-- AddThis Share Buttons generic via filter on get_the_excerpt --><\/p>\n","protected":false},"author":41,"featured_media":0,"comment_status":"open","ping_status":"open","sticky":false,"template":"","format":"standard","meta":{"footnotes":""},"categories":[1],"tags":[6024,6025,169,5670,6026],"class_list":["post-24411","post","type-post","status-publish","format-standard","hentry","category-general","tag-bob-prechter","tag-conquer-the-crash","tag-elliott-wave-international","tag-elliott-wave-theorist","tag-optimism"],"yoast_head":"<!-- This site is optimized with the Yoast SEO Premium plugin v23.4 (Yoast SEO v23.6) - https:\/\/yoast.com\/wordpress\/plugins\/seo\/ -->\n<title>Historic Optimism in the Stock Market - What Does it Mean?  - INO.com Trader&#039;s Blog<\/title>\n<meta name=\"robots\" content=\"index, follow, max-snippet:-1, max-image-preview:large, max-video-preview:-1\" \/>\n<link rel=\"canonical\" href=\"https:\/\/wwwtest.ino.com\/blog\/2014\/01\/historic-optimism-in-the-stock-market-what-does-it-mean\/\" \/>\n<meta property=\"og:locale\" content=\"en_US\" \/>\n<meta property=\"og:type\" content=\"article\" \/>\n<meta property=\"og:title\" content=\"Historic Optimism in the Stock Market - What Does it Mean?  - INO.com Trader&#039;s Blog\" \/>\n<meta property=\"og:description\" content=\"By: Elliott Wave International How do you know when the market is getting ready for a change? 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