Stocks - Recording Another Low...(?)

Yes, we know, could the title of today’s article be any more provocative? Surely we have lost sight of the fact that stocks have already enjoyed a huge advance with the S&P up nearly 56% from the March lows at the recent high near 1040. Surely, we recognize the huge swing to bullishness that has taken place within the recent sentiment polls, a development that always suggests the imminent death of a major rally. Or does it? As many in the babbling media and cacophony of CNBC would like to have you believe, the swing to excess bullish sentiment is NOT an instant death sentence for equities. On Wall Street, any number of technical analysts have also been pounding away on the “excessive bulls” theme. However, we see a lot of these warnings as overdone, and potentially way early. (more)