Fear and Greed now down to 11!
This index is a summation of seven indicators explained in detail here.
- Stock Price Momentum: The S&P 500 versus its 125-day moving average
- Stock Price Strength: The number of stocks hitting 52-week highs and lows on the New York Stock Exchange
- Stock Price Breadth: The volume of shares trading in stocks on the rise versus those declining.
- Put and Call Options: The put/call ratio, which compares the trading volume of bullish call options relative to the trading volume of bearish put options
- Junk Bond Demand: The spread between yields on investment grade bonds and junk bonds
- Market Volatility: The VIX, which measures volatility
- Safe Haven Demand: The difference in returns for stocks versus Treasuries
Then we put all the indicators together - equally weighted - for a final index reading."
Wow! We got here fast!
3-Years of Fear & Greed Index
3-Years of S&P500