Smart Money, Banks, & Sentiment Corona Del Mar, CA   Hey ,   Many moons ago, I imported AAII sentiment data into the computer to see if I could build a trading strategy with it.   AAII sentiment has been around since 1987...similar to the COT data for the S&P 500.   It tends to be a contrarian indicator -- you should trade against it.   Unfortunately, the sentiment seemed to track price behavior...meaning that if price was going down, sentiment simply got worse.   I did all this testing a decade ago using manual programming, so perhaps I'll have my team run The Boss SuperAi on it for a final verdict.   Kinda cool because I don't have to lock myself in the office, sit there for hours on end, banging away at the keyboard.   We've got a zillion other projects going on, but I'll fill you in on the deets once I take a peak.   Meanwhile, the COT remains bullish on the S&P 500.   The dumb money has been selling for months. You rarely want to be on the same side as these folks.   In case you were wondering, sentiment has been bad for months (along-side price).   And now suddenly some of the banking stocks took off.   I've seen the thesis for an insanely terrible Fall for the markets...or even a collapse.   I'm naturally gravitating towards the other side of that trade.   Give the Central Bankers and the think tanks some credit...they have quite a few tricks up their sleeves before the music stops.   Trade smart,   Dan "Prince of Proof" Murphy                           Portfolio Boss, Inc. 260 Newport Center Dr, Suite 100 Newport Beach, CA 92660   Don't want to stay in the loop with Dan? We'll be sad to see you go, but you can unsub to no longer receive emails.   Government required disclaimer: The results listed herein are based on hypothetical trades. Plainly speaking, these trades were not actually executed. Hypothetical or simulated performance results have certain inherent limitations. Unlike an actual performance record, simulated results do not represent actual trading. Also, since the trades have not actually been executed, the results may have under (or over) compensated for the impact, if any, of certain market factors such as lack of liquidity. You may have done better or worse than the results portrayed.