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Stock Market Indicators: Bull/Bear Ratios Yardeni Research, Inc. May 23, 2018 Dr. Edward Yardeni 516-972-7683 [email protected] Joe Abbott 732-497-5306 [email protected] Debbie Johnson 480-664-1333 [email protected] Mali Quintana 480-664-1333 [email protected] Please visit our sites at www.yardeni.com blog.yardeni.com thinking outside the box

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Page 1: Stock Market Indicators: Bull/Bear Ratios - Yardeni … Market Indicators: Bull/Bear Ratios Yardeni Research, Inc. March 22, 2018 Dr. Edward Yardeni 516-972-7683 eyardeni@yardeni.com

Stock Market Indicators:Bull/Bear Ratios

Yardeni Research, Inc.

May 23, 2018

Dr. Edward Yardeni516-972-7683

[email protected]

Joe Abbott732-497-5306

[email protected]

Debbie Johnson480-664-1333

[email protected]

Mali Quintana480-664-1333

[email protected]

Please visit our sites atwww.yardeni.comblog.yardeni.com

thinking outside the box

Page 2: Stock Market Indicators: Bull/Bear Ratios - Yardeni … Market Indicators: Bull/Bear Ratios Yardeni Research, Inc. March 22, 2018 Dr. Edward Yardeni 516-972-7683 eyardeni@yardeni.com

Table Of Contents Table Of ContentsTable Of Contents

May 23, 2018 / Stock Market Indicators: Bull/Bear Ratios www.yardeni.com

Yardeni Research, Inc.

Bulls & Bears 1Bull/Bear Ratio Over 3.0 2Bull/Bear Ratio Under 1.0 3Bull/Bear Ratio Under 1.0 & Over 3.0 4AAII Sentiment 5Bull/Bear Ratio vs. Consumer Confidence 6Bulls & Bears 7Bull & Bears (52-wa) 8-9

Page 3: Stock Market Indicators: Bull/Bear Ratios - Yardeni … Market Indicators: Bull/Bear Ratios Yardeni Research, Inc. March 22, 2018 Dr. Edward Yardeni 516-972-7683 eyardeni@yardeni.com

Figure 1.

87 88 89 90 91 92 93 94 95 96 97 98 99 00 01 02 03 04 05 06 07 08 09 10 11 12 13 14 15 16 17 18 19 200

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Ratio May 8 2.09 May 15 2.40 May 22 2.56

5/22

INVESTORS INTELLIGENCE BULLS & BEARS

RatioBull/BearRatio*

87 88 89 90 91 92 93 94 95 96 97 98 99 00 01 02 03 04 05 06 07 08 09 10 11 12 13 14 15 16 17 18 19 2010

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Bulls Bears May 8 43.1 20.6 May 15 46.6 19.4 May 22 49.1 19.2

5/22

PercentageBullsBears

87 88 89 90 91 92 93 94 95 96 97 98 99 00 01 02 03 04 05 06 07 08 09 10 11 12 13 14 15 16 17 18 19 205

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Correction May 8 36.3 May 15 34.0 May 22 31.7

5/22

PercentageCorrection Camp

yardeni.com

Source: Investors Intelligence.

Bulls & Bears

Page 1 / May 23, 2018 / Stock Market Indicators: Bull/Bear Ratios www.yardeni.com

Yardeni Research, Inc.

Page 4: Stock Market Indicators: Bull/Bear Ratios - Yardeni … Market Indicators: Bull/Bear Ratios Yardeni Research, Inc. March 22, 2018 Dr. Edward Yardeni 516-972-7683 eyardeni@yardeni.com

87 88 89 90 91 92 93 94 95 96 97 98 99 00 01 02 03 04 05 06 07 08 09 10 11 12 13 14 15 16 17 18 19 20200

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S&P 500 INDEX vs. BULL/BEAR RATIO OF3.0 OR MORE*

(ratio scale)

5/22

yarden

i.com

* Red shaded areas indicate Bull/Bear Ratio equal to or greater than 3.0.Source: Standard & Poor’s and Investors Intelligence.

Figure 2.

87 88 89 90 91 92 93 94 95 96 97 98 99 00 01 02 03 04 05 06 07 08 09 10 11 12 13 14 15 16 17 18 19 201600

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DOW JONES INDEX vs. BULL/BEAR RATIO OF3.0 OR MORE*

(ratio scale)

5/22

yarden

i.com

* Red shaded areas indicates Bull/Bear Ratio equal to or greater than 3.0.Source: Wall Street Journal and Investors Intelligence.

Figure 3.

Bull/Bear Ratio Over 3.0

Page 2 / May 23, 2018 / Stock Market Indicators: Bull/Bear Ratios www.yardeni.com

Yardeni Research, Inc.

Page 5: Stock Market Indicators: Bull/Bear Ratios - Yardeni … Market Indicators: Bull/Bear Ratios Yardeni Research, Inc. March 22, 2018 Dr. Edward Yardeni 516-972-7683 eyardeni@yardeni.com

87 88 89 90 91 92 93 94 95 96 97 98 99 00 01 02 03 04 05 06 07 08 09 10 11 12 13 14 15 16 17 18 19 20200

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S&P 500 INDEX vs BULL/BEAR RATIOOF 1.0 OR LESS*

(ratio scale)

5/22

yarden

i.com

* Green shaded areas indicate Bull/Bear Ratio equal to or less than 1.0.Source: Standard & Poor’s and Investors Intelligence.

Figure 4.

87 88 89 90 91 92 93 94 95 96 97 98 99 00 01 02 03 04 05 06 07 08 09 10 11 12 13 14 15 16 17 18 19 201600

6600

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DOW JONES INDEX vs. BULL/BEAR RATIOOF 1.0 OR LESS*

(ratio scale)

5/22

yarden

i.com

* Green shaded areas indicates Bull/Bear Ratio equal to or less than 1.0.Source: Wall Street Journal and Investors Intelligence.

Figure 5.

Bull/Bear Ratio Under 1.0

Page 3 / May 23, 2018 / Stock Market Indicators: Bull/Bear Ratios www.yardeni.com

Yardeni Research, Inc.

Page 6: Stock Market Indicators: Bull/Bear Ratios - Yardeni … Market Indicators: Bull/Bear Ratios Yardeni Research, Inc. March 22, 2018 Dr. Edward Yardeni 516-972-7683 eyardeni@yardeni.com

87 88 89 90 91 92 93 94 95 96 97 98 99 00 01 02 03 04 05 06 07 08 09 10 11 12 13 14 15 16 17 18 19 20-40

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-40

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S&P 500 % FROM 200-DMAvs.

BULL/BEAR RATIO OF 3.0 OR MORE*

5/22

* Red shaded areas indicates Bull/Bear Ratio equal to or more than 3.0.Source: Standard & Poor’s Corporation.

yarden

i.com

Figure 6.

87 88 89 90 91 92 93 94 95 96 97 98 99 00 01 02 03 04 05 06 07 08 09 10 11 12 13 14 15 16 17 18 19 20-40

-20

0

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-40

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S&P 500 % FROM 200-DMAvs.

BULL/BEAR RATIO OF 1.0 OR LESS*

5/22

* Green shaded areas indicates Bull/Bear Ratio equal to or less than 1.0.Source: Standard & Poor’s Corporation.

yarden

i.com

Figure 7.

Bull/Bear Ratio Under 1.0 & Over 3.0

Page 4 / May 23, 2018 / Stock Market Indicators: Bull/Bear Ratios www.yardeni.com

Yardeni Research, Inc.

Page 7: Stock Market Indicators: Bull/Bear Ratios - Yardeni … Market Indicators: Bull/Bear Ratios Yardeni Research, Inc. March 22, 2018 Dr. Edward Yardeni 516-972-7683 eyardeni@yardeni.com

Figure 8.

2005 2006 2007 2008 2009 2010 2011 2012 2013 2014 2015 2016 2017 2018 20190

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75

100

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AAII SENTIMENT INDEX FOR STOCKS

AAII Bull Ratio*

2005 2006 2007 2008 2009 2010 2011 2012 2013 2014 2015 2016 2017 2018 20190

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AAII Bull/Bear Ratio

2005 2006 2007 2008 2009 2010 2011 2012 2013 2014 2015 2016 2017 2018 20190

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Latest Readings Bulls Bears May 9 33.5 25.5 May 16 36.7 20.6

5/16

Bulls

Bears

* AAII Bull Ratio is the percent of bulls over the percent of bulls plus percent of bears.Source: American Association of Individual Investors (AAII).

yardeni.com

AAII Sentiment

Page 5 / May 23, 2018 / Stock Market Indicators: Bull/Bear Ratios www.yardeni.com

Yardeni Research, Inc.

Page 8: Stock Market Indicators: Bull/Bear Ratios - Yardeni … Market Indicators: Bull/Bear Ratios Yardeni Research, Inc. March 22, 2018 Dr. Edward Yardeni 516-972-7683 eyardeni@yardeni.com

2000 2001 2002 2003 2004 2005 2006 2007 2008 2009 2010 2011 2012 2013 2014 2015 2016 2017 2018 201920

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.0

.5

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5/22

Apr

BULL/BEAR RATIO & CONSUMER CONFIDENCE

Bull/Bear Ratio(4-week average)

Consumer ConfidenceExpectations Index

yardeni.com

Source: New York Board of Trade, Commodity Futures Trading Commission, and the Conference Board.

Figure 9.

2000 2001 2002 2003 2004 2005 2006 2007 2008 2009 2010 2011 2012 2013 2014 2015 2016 2017 2018 201920

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5/22

5/12

BULL/BEAR RATIO & CONSUMER COMFORT INDEX

Bull/Bear Ratio(4-week average)

Consumer Comfort Index

yardeni.com

Source: New York Board of Trade, Commodity Futures Trading Commission, and Bloomberg.

Figure 10.

Bull/Bear Ratio vs. Consumer Confidence

Page 6 / May 23, 2018 / Stock Market Indicators: Bull/Bear Ratios www.yardeni.com

Yardeni Research, Inc.

Page 9: Stock Market Indicators: Bull/Bear Ratios - Yardeni … Market Indicators: Bull/Bear Ratios Yardeni Research, Inc. March 22, 2018 Dr. Edward Yardeni 516-972-7683 eyardeni@yardeni.com

88 89 90 91 92 93 94 95 96 97 98 99 00 01 02 03 04 05 06 07 08 09 10 11 12 13 14 15 16 17 18 19 205

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S&P 500 FORWARD P/E & INVESTORS INTELLIGENCE BULL/BEAR RATIO

S&P 500 Forward P/E* (16.2)

Investors IntelligenceBull/Bear Ratio (2.6)

yardeni.com

* Average weekly price divided by 52-week forward consensus expected operating earnings per share. Monthly through April 1994, then weekly.Source: Standard & Poor’s Corporation, Thomson Reuters I/B/E/S, and Investors Intelligence.

Figure 11.

95 96 97 98 99 00 01 02 03 04 05 06 07 08 09 10 11 12 13 14 15 16 17 18 19 205

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5/12

5/18

S&P 500 FORWARD P/E & CONSUMER COMFORT INDEX

S&P 500Forward P/E* (16.2)

Weekly ConsumerComfort Index** (54.6)

yardeni.com

* Average weekly price divided by 52-week forward consensus expected operating earnings per share.** Index plus 100.

Source: Standard & Poor’s, Thomson Reuters I/B/E/S, and Bloomberg.

Figure 12.

Bulls & Bears

Page 7 / May 23, 2018 / Stock Market Indicators: Bull/Bear Ratios www.yardeni.com

Yardeni Research, Inc.

Page 10: Stock Market Indicators: Bull/Bear Ratios - Yardeni … Market Indicators: Bull/Bear Ratios Yardeni Research, Inc. March 22, 2018 Dr. Edward Yardeni 516-972-7683 eyardeni@yardeni.com

87 88 89 90 91 92 93 94 95 96 97 98 99 00 01 02 03 04 05 06 07 08 09 10 11 12 13 14 15 16 17 18 19 20.0

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5/22

INVESTORS INTELLIGENCE BULLS & BEARS

Bull/Bear Ratio

52-week moving average (3.4)yardeni.com

Source: Investors Intelligence.

Figure 13.

88 89 90 91 92 93 94 95 96 97 98 99 00 01 02 03 04 05 06 07 08 09 10 11 12 13 14 15 16 17 18 19 2040

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5/22

INVESTORS INTELLIGENCE BULLS + CORRECTION CAMP(percent)

52-week moving average (83.2)

Source: Investors Intelligence.

yardeni.com

Figure 14.

Bull & Bears (52-wa)

Page 8 / May 23, 2018 / Stock Market Indicators: Bull/Bear Ratios www.yardeni.com

Yardeni Research, Inc.

Page 11: Stock Market Indicators: Bull/Bear Ratios - Yardeni … Market Indicators: Bull/Bear Ratios Yardeni Research, Inc. March 22, 2018 Dr. Edward Yardeni 516-972-7683 eyardeni@yardeni.com

88 89 90 91 92 93 94 95 96 97 98 99 00 01 02 03 04 05 06 07 08 09 10 11 12 13 14 15 16 17 18 19 2010

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INVESTORS INTELLIGENCE BEARS(percent)

52-week moving average (16.8)

Source: Investors Intelligence.

yardeni.com

Figure 15.

88 89 90 91 92 93 94 95 96 97 98 99 00 01 02 03 04 05 06 07 08 09 10 11 12 13 14 15 16 17 18 19 200

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5/22

5/22

INVESTORS INTELLIGENCE (BULLS + CORRECTION) / BEARS

52-week moving average (5.1)

Source: Investors Intelligence.

yardeni.com

Figure 16.

Bull & Bears (52-wa)

Page 9 / May 23, 2018 / Stock Market Indicators: Bull/Bear Ratios www.yardeni.com

Yardeni Research, Inc.

Page 12: Stock Market Indicators: Bull/Bear Ratios - Yardeni … Market Indicators: Bull/Bear Ratios Yardeni Research, Inc. March 22, 2018 Dr. Edward Yardeni 516-972-7683 eyardeni@yardeni.com

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