Investors and newsletter writers are finally seeming to be convinced by the rally, as the S&P 500 has retaken its 200-DMA over the past week. 33.07% of respondents in AAII's weekly sentiment survey reported as bullish this week. That is up from 29% last week and the highest level of bullish sentiment since April 16th, when it reached 34.86%.
As for bearish sentiment, after the 1.17-percentage point decline to 42.13% this week, AAII's survey is reading the lowest level of bearish sentiment since mid-April. This week was the third consecutive week with bearish sentiment declining,