Market Strategy: Dax traders take road less traveled

摘要

Contrarian trading always has been a favorite among part-time traders ― and even a few pros as well. The premise is so simple: if most of those who watch a market full-time believe it's going up, but instead it goes sideways, then something is amiss ― and once the pros realize that, there's going to be a huge reaction against their positions. In the United States, one of the better known contrarian indicators is the Bullish Consensus sentiment indicator launched in 1964 by Pasadena-based Market Vane, which surveys futures analysts and then compares their consensus opinion to the market's actual performance. When consensus opinion and actual market direction diverge, that indicates the market is gearing up to react against the pros.