Market sentiment data is a reading of the attitudes of a sampling of leading market advisors. It's not a perfect indicator, but it is helpful.
Since the market usually turns when everyone thinks it couldn't get any better, this indicator is best used as an "overbought" or "oversold" indicator. Or a "contrarian" indicator.
When market sentiment reaches an extreme high, the market is considered overbought, and a downturn is likely.
When market sentiment reaches an extreme low, the market is considered oversold, and an upturn is likely.
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