Investor Sentiment Check

The markets are still hovering slightly in positive territory, and volume looks to be running a little light. Oil is higher by $1.60 today, and is nearing the $59 level. This is likely weighing on the broader market.

As for investor sentiment, caution continues to be reflected in the indicators:

• The ARMS Index is slightly above average at 1.04
• The CBOE put/call is running high at 1.01
• The ISEE is also high at the equivalent of 1.03

While the indexes are now reaching overbought levels on the oscillators, I think the recent runup in the put/call ratios will likely offset this a bit, and limit the damage from any pullback in the next week or so.

For today, here is what the sector ETF activity looks like:

• Energy is leading (+0.9%)
• Industrials are next (+0.44%)
• Materials and healthcare are lower (-0.25%)