Asymmetric Finance

Asymmetric Finance

Share this post

Asymmetric Finance
Asymmetric Finance
The Best Market Indicator Ever
Copy link
Facebook
Email
Notes
More

The Best Market Indicator Ever

The best indicator of the markets tells us that a stock crash is near

Oct 19, 2021
∙ Paid
2

Share this post

Asymmetric Finance
Asymmetric Finance
The Best Market Indicator Ever
Copy link
Facebook
Email
Notes
More
Share
Photo by Mulyadi on Unsplash

We live in the information age and this is reflected in the amount of data we have on a daily basis. This is causing that on many occasions we lose focus of what is really important and very complex estimates are made with high overfitting.

It has been shown that the more complex a system is, the worse its performance tends to be and that it is often much simpler to use a single ratio and leave aside the noise of the markets, as we show in this article.

One of the most famous indicators that best reflects market sentiment has historically been the ‘Fear & Greed Index’ published by CNN and updated daily. This indicator gives an estimate of how the market is doing in a value between 0–100. With 0 being an absolute fear on the part of investors.

This post is for paid subscribers

Already a paid subscriber? Sign in
© 2025 Asymmetric Finance
Privacy ∙ Terms ∙ Collection notice
Start writingGet the app
Substack is the home for great culture

Share

Copy link
Facebook
Email
Notes
More