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What Is Market Sentiment?

Definition and plain-English explanation of "Market Sentiment"

Market Sentiment — Options & Advanced illustration

Market sentiment refers to the overall attitude of investors toward a particular security or market. Sentiment can be bullish (optimistic, expecting prices to rise) or bearish (pessimistic, expecting prices to fall). Sentiment is measured through tools like the VIX volatility index, the Fear & Greed Index, put/call ratios, and surveys of investor attitudes.

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