Excellent analysis! Given this persistant divergence between sentiment and price action, do you see this as a healthy reset, or a sign of deeper underlying psychological shifts in investor behaviour?
Short term, this is a reset as long as $SPY / $QQQ hold the levels in the piece. If we see fear stay pinned at these extremes while price starts to trend lower in a more orderly way, then I would start treating it less as noise and more as a shift in behavior worth respecting.
Excellent analysis! Given this persistant divergence between sentiment and price action, do you see this as a healthy reset, or a sign of deeper underlying psychological shifts in investor behaviour?
Short term, this is a reset as long as $SPY / $QQQ hold the levels in the piece. If we see fear stay pinned at these extremes while price starts to trend lower in a more orderly way, then I would start treating it less as noise and more as a shift in behavior worth respecting.