Last week closed with two new bullish signals: the third Spike Bounce signal in two weeks and a 1HL (First Higher Low) setup, complete with a V2 trigger, all supporting the latest Spike signal.

The CNN Fear & Greed index, from which our FGIC is derived, has four timeframes.  Today three of them show significant bullish divergences.  The long-term quarterly timeframe has reached the same level as during the March 2020 bottom.

FGIC has remained in its extreme fear zone for 69 days (the average stay is 56 days).  Several powerful bullish technical signals have accumulated and repeated in recent weeks; it is normal for market sentiment to lag behind.

Next week we want to see the new lows below 500 diminish and finally see FGIC react to the ongoing signals. 

Have a safe trading week,

Gianluca L.