Tag Archives: American Association of Individual Investors

Individual Investors Dip Toe Back into Stocks: Wall Street Journal Warns Top May Be Near

The “dumb” money (ie. that of individual investors) is back in the stock market — and that means the market likely is at its peak, according to the Wall Street Journal. The evidence: rising investment in ETFs and equity mutual funds, as tracked by EPFR Global. The American Association of Individual Investors (AAII) also found a striking growth in bullish sentiment when polling its members last week (graphic courtesy of the WSJ): Continue reading

Parallels Between the Current Market and the Run Up to the May Correction

Guest commentary by Michael A. Gayed.

Is it May all over again?

Its easy to get swept away in the string of market returns higher. Its been a spectacular run since September after all. But market declines often come when investors least expect them. To get a sense of the likelihood of a coming drop, we need to look at the internals of the market.

I am noticing a number of parallels that remind me of the lead up to the May correction we experienced this year: Continue reading