Im confident that we will not get another correction until 2008. There was a double bottom in the ISEE sentiment indicator. The first bottom occured around September 2006 and the second bottom occurred just recently.
The last double bottom occurred between late 2002 and early 2003. In March of 2003 right after the double bottom occurred, the nasdaq went up 33% within a year.
As the ISEE sentiment indicator climbs from here then we will see increased buying. When the ISEE indicator is near a top, then you should be worried...or if the ISEE indicator starts to turn downward then you should be worried.
Today the index's 10 day moving average closed at 105. There is lots of room to climb. I would say that a turning point will occur somewhere over the 150 mark.
The last double bottom occurred between late 2002 and early 2003. In March of 2003 right after the double bottom occurred, the nasdaq went up 33% within a year.
As the ISEE sentiment indicator climbs from here then we will see increased buying. When the ISEE indicator is near a top, then you should be worried...or if the ISEE indicator starts to turn downward then you should be worried.
Today the index's 10 day moving average closed at 105. There is lots of room to climb. I would say that a turning point will occur somewhere over the 150 mark.