The Investors Intelligence survey has shown a drop in bulls and an increase in bears. Bulls and bears are nearly in a dead heat with 38% bulls and 37% bears. Bears are at levels seen last Summer but bulls are still higher as bulls went under 30% last summer. This indicator is now bullish for the market. I doubt the bears who talked about this survey endlessly 3 weeks ago will mention it now.
Every sentiment indicator is pointing to excessive bearishness. There are few bulls left to convert to bears and it will be much harder to take this market down. I believe the bears need a systemic event to break this market down at the current juncture. Anything but terrible news should take us higher.