Bearish Sentiment Hits 7-Week High, Mimicking 35-Year Old Record Which Marked The Bottom Of The October 1990 Bear Market

Despite a weekly decrease in negative sentiment, the latest American Association of Individual Investors (AAII) survey showed bearishness still leading bullish and neutral views at 58.9% this week.

What Happened: Investor pessimism in the latest AAII survey, conducted weekly from Thursday to Wednesday, has lessened. The percentage of individual investors with a negative short-term view of the stock market declined by 3%, moving from 61.9% down to 58.9%.

The bearish sentiment continues to be above 50% for the seventh straight week. Last week, at 61.9%, the bearish sentiment had hit a 16-year high since March 2009.

Whereas with the seven-week-long streak currently, it matched a 35-year-old record. According to Subu Trade, the last time bearish sentiment was above 50% for seven straight weeks was in October 1990, which was also the bottom of that bear market.

AAII ...

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