Historic Volatility As Investors Flee Funds


  • Jason Goepfert

    Jason Goepfert

    Published: 2018-04-05 at 13:16:50 CDT

This is an abridged version of our Daily Report.

A historic couple of weeks

Stocks have swung more than 1% almost every day for the past two weeks. Even during bear markets, investors have rarely suffered through such dramatic clusters of daily swings.

Forward returns after such high volatility were excellent over the medium- to long-term.

Saved again

During the day, stock futures dropped heavily and were below the lowest close of the last 50 days. Buyers stepped in, and the upside reversal was one of the largest ever seen during a long-term uptrend.

Sell first, ask questions later

Investors yanked more than $65 billion from domestic equity mutual funds and ETFs over the past 2 months. That nears the record from 2008, but as a percentage of total assets it’s not as extreme or bullish.

A big spread

The spread between Smart Money and Dumb Money Confidence continues to widen and is at nearly +40%. The S&P 500 is also above its 200-day average again.

For access to the full report, indicators, charts, screens, and Backtest Engine, log in or sign up for a free 30-day trial today.

The post titled Historic Volatility As Investors Flee Funds was originally published as on SentimenTrader.com on 2018-04-05.

At SentimenTrader.com, our service is not focused on market timing per se, but rather risk management. That may be a distinction without a difference, but it's how we approach the markets. We study signs that suggest it is time to raise or lower market exposure as a function of risk relative to probable reward. It is all about risk-adjusted expectations given existing evidence. Learn more about our service , research, models and indicators.


Follow us on Twitter for up to the minute analysis of market action.


Not ready to signup up for a free trial yet?

Signup for our Daily Lite email to receive highlights of our daily report, research and studies.



RSS Feed

Subscribe to the Blog RSS feed

Recent Blog Posts


As mentioned in...

Brought to you by:

Sundial Capital Research Logo