THE HAnDbook of TEcHnIcAl AnAlysIseconomy as well as future expectations. It is published by the Conference Board
on a monthly basis. This sentiment indicator is closely followed by major financial
institutions, government bodies, and even by the central bank as a basis for setting
future policy.
university of Michigan Consumer Sentiment Index
The University of Michigan Consumer Sentiment Index reflects data on the level
of consumer confidence, obtained via telephonic household interviews where 50
questions are asked of the general public living in the United States. It is also an
extremely popular and well‐followed indicator.
In Figure 23.10, we observe that the University of Michigan Consumer Index
forecasted potential tops in the S&P 500 Large Cap Index via standard bearish
divergences and bottoms when the University of Michigan Consumer Index tested
or exceeded its previous oversold levels.
Market vane
The Bullish Consensus is published by the Market Vane Corporation and reflects
the aggregate of all daily buy and sell recommendations of leading market and
fIgure 23.10 The University of Michigan Consumer Index Forecasting Tops and
Bottoms in the S&P 500 Large Cap Index.
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