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However, they do appear to be a good indicator of market trends.
CREDIT-DERIVATIVE prices, which are fast becoming a leading indicator of market sentiment, can sometimes overshoot.
"Put-call ratios, that's a better indicator" of market direction than odd-lot shorts, said Philip Roth, chief technician at Morgan Stanley Dean Witter.
A fresh indicator of market confidence in European borrowers will come as Italy sells billions of euros in bonds this week, culminating on Thursday.
On Thursday, Italy plans a sale of 8.5 billion euros ($11 billion) in long-term debt, which analysts said would be a more significant indicator of market sentiment.
Futures are often a good indicator of market reaction the next day, and are used by policymakers and investors during weekend negotiations as a way to predict how stocks will react to crises.
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They are also obsessed with external indicators of market confidence in the country's solvency and solidity.
Yet BCA's "speculation index", which includes indicators of market leverage, supply and sentiment, is still in the "extremely speculative" zone.Ample liquidity may well drive share prices higher in the short run, but a sustained bull market requires more than liquid refreshment.
One of Greene's favorite "raw" indicators of market turning points is the Volatility Index.
There is generally low correlation between alternative indicators of market access.
Presently, there are two main text classification methods for constructing indicators of market sentiments: manual classification and machine learning.
More suggestions(17)
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