Too Few Bears Spells T-R-O-U-B-L-E

Albert Edwards of Société Générale makes the simple contrarian arguement that the low number of equity bears is a bad sign for equities:

“The current extremely low number of equity bears (the lowest since the market top of 2007 – see chart below), the likelihood is that the next leg of the long-term structural valuation bear market is closer than people might realise.”