Part 7/9:
Combining the indicators of smart money versus dumb money presents a clearer picture of potential market movements. When smart money confidence declines relative to dumb money enthusiasm, it often signals a market top. Conversely, when smart money begins to outpace retail enthusiasm, it signals a potential market bottom.
Recent analysis indicates that smart money is still hesitant and has not fully returned to the market, raising concerns that a significant correction might still be on the horizon.