Two Contributors Calling For 8-10% Correction

By Jeff Pierce

Time flies when the markets are making new highs. It's been a whole month since our last sentiment poll on Zentrader. You can find that poll below in  related posts and at the time I was the most bullish with a Bullish rating on the markets with Karen and Chris being Neutral-Bullish. Liz has been bearish for awhile now and this is one of the reasons I stress to not get to bearish to quick because the markets have a way of wearing the bears out. The Financial Tap was bearish, but did state we should see all time highs on the market and we did just that on the Dow.

All About Trends - Overall neutral.  Bearish on JNJ, K. and anything that looks like them.  For that matter anything bid up into qtr end. We don't chase stocks and neither should you.  – Neutral

Financial Tap -  I believe the Equity Markets will find an Investor Cycle top here within 7 sessions and begin a 6 week decline of at least 8%. ~ Neutral Bullish

Liz DeMera -  At some point all the negative divergences will matter when the crowd least expects it. ~ Bearish

Karen Starich - I am very bullish for 2013 in general.  We could see the markets moving higher next week.  There is potential for a pullback in the financials that could begin near April 8th and bring the markets down.  A pullback here is a nice opportunity to buy long. - Bullish

Jeff Pierce - My timing signal issued another “add to” position on the Nasdaq last week and everything look very bullish from my proprietary indicators standpoint. I'm expecting this market to go a lot higher than most can imagine but will be quick to turn bearish when my indicators say so. I am no permabull, but see no real reason to be bearish at this point. Trade with the trend.  - Bullish

Chris Ebert -   The Long Straddle/Strangle Index (LSSI) rarely exceeds its upper limit of 4% as it did 3 weeks ago. Usually, when it does, there is either a 10% correction in the S&P within a month or so, or else several months of choppy sideways trading.  Bearish

Previous Trading Sentiment:

2-25-2013 Bulls Lost Significant Ground From Last Report

2-12-2013 Bulls Gain Ground As Markets Push Higher

01-28-2013 Traders Should Have “Buy The Dip” Mentality