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‘Outright Bullish’ Investors May Get ‘Rude Awakening,’ Bear Warns
"Investor sentiment and positioning has turned 180 degrees," Morgan Stanley's Mike Wilson said Tuesday, as US equities looked for direction coming off a fifth weekly gain.
Not to spoil the suspense, but Wilson still isn't buying the rally. The mood among retail and institutional investors is now "outright bullish," he declared, noting that sentiment readings for both individuals and professionals are at two-year highs, and sit "in the top quintile of the past several decades."
On that score, a
Wilson is right about operating leverage whether the market understands the concept or not. The seven samurai, or whatever they are called these days, have never met a piece of fundamental data they could like. Momentum tech investing is like, if reality and the story don’t agree, buy the story. To me the NASDAC is a snipe hunt and soon a bunch of suckers will be left in the woods with a bag of doorknobs.