Be Very Afraid ?

I have watched and studied the Stocktwits streams coming up on 10 years now.

I have my own filters/biases just like every active user does, but I believe strongly in the edge my eyes, ears and network in the community have given me. I have never set out to quantify it, I just have my results.

Ian, the Stocktwits CEO, also shares with me the daily data (I am still Chairman). I have my own way to look at that as well.

I can scan it in a few seconds…but over the years have learned to spot patterns.

From day one the Stocktwits users have always been more bullish than other sources. Being that messages started flowing in the summer of 2008, the heart of the financial crisis, that might seem surprising, but the audience skews young and in March 2009, the markets started moving higher so the crisis was quickly forgotten.

Garrett, who leads Stocktwits data, shared the results of the data he crunched from the most recent correction and it was very different. He found that investors are more more afraid of a downturn than ever before.

Take a read.

I will be keeping a close eye to see how the next few months play out.

Right now a lot of large and mid cap stocks continue to hit all-time highs. If this continues, I will be interested to check back in with Garrett in the next month.

Also published on Medium.