The Weekly Market Sentiment Report: 5th March - 12th March 2023

The Weekly Market Update: 05/03/2023 - 12/03/2023

This report covers the weekly market sentiment and positioning and any changes that have occurred which might present interesting configurations on different asset classes with a specific focus on currencies. The below shows the table of contents of the report:

• The Artemis Indicator: A Tactical Reversal Tool on the S&P 500

• The White Index: The Bullish Continuation Indicator on the S&P 500

• Bitcoin Tactical Sentiment Index: A Short-Term Reversal Indicator on Bitcoin

• The AAII: A New Comer to the Sentiment Indicators’ Party

• The COT Meter: Simplifying the Commitment of Traders on FX

• COT Pattern Recognition: Playing on Correlations on FX

• Important Legal Disclaimer

Main points:

• More confirmed bullish sentiment on the S&P500 coming from the Artemis indicator. The bullish bias remains.

• Bullish bias on the AAII.

• The CFTC released more data but is still having issues with the COT data at the moment.

• The Bitcoin model is not showing any signals at the moment.

The Artemis Indicator

The Artemis Indicator is born out of a transformation of the put-call ratio, a sentiment indicator published by the CBOE which helps with predicting the S&P 500. It is a daily indicator.

The following Figure shows the recent signal chart.

Conclusion

A new bullish signal has appeared. This indicator is currently the protagonist of the report due to its success in predicting tops and bottoms.

The White Index

Long-only traders who like to time the dips and follow the upside trend (during a bullish market) should monitor the White Index as it has been specifically designed for this purpose.