FEAR & GREED INDEX 54
Weekly Update
The Fear & Greed Index (found on cnn.com) is one of the easiest indicators to use to determine current market emotion. This simple to read gauge, highlighted in our publication When to Buy and When to Sell: Combining Easy Indicators, Charts, and Financial Astrology (available on Amazon), is measured in a range from 0-100, and currently reads 54 as of the close on Friday, August 28, 2026.
The gauge remains on the cusp of the Neutral/Greed line, slipping just 1 point from last week’s close of 55, in a tumultuous last 2 days. This was reflected in the S&P 500, which managed to gain 37 points, from 7,674 to 7,711, as markets pulled back on Friday after Thursday’s surge.
The 7 internal factors used to formulate this gauge are listed on the screen (below):
Market Momentum – (S&P 500 vs its 125-day moving avg) = FEAR
Market Volatility (measured by the VIX) = NEUTRAL
Put to Call Ratio 5-day avg. (# of Puts (bearish) vs Calls (bullish) = GREED
Stock Price Strength (# of new 52-week highs vs new 52-week lows) = FEAR
Stock Price Breadth (# of shares rising vs falling on NYSE) = GREED
Safe-Haven Demand (which measures stocks vs bonds) = FEAR
Junk Bond Demand (non-govt. bond yield spread) = EXTREME GREED
This week, 2 of these 7 factors changed categories, with the all-important, and wildly fluctuating, Put to Call Ratio flipping once again (we seem to say this every week), from Fear to Greed, after the market surge on Thursday. Safe-Haven Demand decreased to Fear from Greed after some strength in the U.S. Dollar returned.
Moving Averages’ (MAs) bullish sentiment dropped again this week, with the longer-term 200-days ending at 57%, down from last week’s reading of 60% (with the DJIA still leading around 70% - even with last week). The shorter-term MAs dropped as well, to 56% on the 50-day (vs 50% last week), and 42% on the 20-day (vs 52% last week), displaying the continuing overall weakness. The Energy sector (constantly fluctuating with the daily change in the military conflict perception), Healthcare (defensive), and Financials (important for bullish sentiment) remained the strongest this week, though all declined, while Utilities remains the weakest by far.
The “Risk-On” sentiment remained rather neutral, as the U.S. National Debt reached a whopping $40 Trillion last week, combined with an indecisive market. The VIX (market volatility), decreased slightly, 0.7 points, to 14.4, by week’s end, vs last weeks close of 15.1, remaining calm with the low summer trading volume. As we often note, however, any break-through of the crucial “20” mark suggests a pullback. 10-yr bond yields remained flat, decreasing 0.1 points, to 4.73%, from last week’s close of 4.74%, as interest rates remain at 19-year highs, which also heeds caution.
Economic reports this week focused mainly on chip behemoth Nvidia (NVDA), which reported quarterly earnings on Wednesday, August 26. As usual, they announced much higher than anticipated earnings per share, with an excellent forward outlook. Initial reactions were very strong after the report, with a 9% gain, though the stock pulled back 4.5% on Friday, after likely profit-taking.
Astrologically, Virgo season beginning has settled in (August 22 – Sept 22). Virgo season is typically weak in the markets, with low confidence, a conservative approach, and higher volatility, as traders return from summer vacations. There are few catalysts at this time of year after earnings season completes, though trading volume starts to increase. The last 2 years have been positive, however, also bucking the trend of the past few decades. Major uncertainty persists in current market conditions, despite recent highs, which is not expected to change anytime soon, so proceed with caution. Please review our Sign Language – Virgo blog, dated 8-8-26 for more details.
Current shorter-term transits/aspects of note include the planet Venus transiting the sign of Libra (Aug 6 – Sept 9), signifying a fair, balanced, overall market in the short-term. The planet Mercury entered the sign of Virgo (one of its 2 “home” signs) on Tuesday, August 25, remaining until September 10, symbolizing more attention to specific fundamentals/reports. Major communications among global leaders remains in focus as well, as Mercury formed a conjunction with the Sun on August 27, which moved markets as we suggested last week.
Longer-term, the planet Jupiter remains in the sign of Leo until July 26, 2027, highlighting fashion, self-pleasing products, creativity, and travel (signified by the Consumer Discretionary sector), as well as leadership, defense, and gold (Please refer to our Trader Transits – Jupiter in Leo blog, dated 6-12-26, for further information). Stocks in those sectors (especially defense and gold) have shown some improvement, as expected, though discretionary stocks have stalled with last week’s low Consumer Sentiment and Confidence readings. Keep in mind that travel-related stocks are also sensitive to oil prices, which are vulnerable to the military conflict status (or “perceived” status). Also, as discussed heavily in recent months, Uranus (sudden, unexpected events/high technology) will remain in the sign of Gemini (communications, transportation, advanced technology) until 2033. Uranus’ energies ramped up again this week, with quick, unexpected reversals, in both directions, as the market cannot seem to make up its mind (Gemini). This is expected to continue, as we’ve expressed in the past several weeks. Please also review our Trader Transits – Uranus in Gemini blog, dated 3-30-26, for more details.
As we have noted for over 1 year now, sectors of the technology industry that are likely to continue their advance into the future include AI, robotics, quantum computing, and space development, with both Pluto positioned in Aquarius, and Uranus in Gemini for many years to come, though they will experience pullbacks (sometimes sizeable) along the way.
Gold (ruled by the Sun), and Silver (ruled by the Moon), remained steady this week until Friday, when they retraced. The Gold to Silver Ratio closed at 67.1, decreasing by only 0.4 points from last week’s close of 66.7, as both metals continue to move together evenly. As we continue to stress, both metals remain good buys after pullbacks, so long as central banks continue to buy, which they are, and Safe-Haven investments remain popular, which is expected.
Finally, Bitcoin (ruled by Uranus), after a long consolidation, surged last week, and held steady this week, though it also pulled back on Friday. Its Fear & Greed Index remained at 77, after closing at 36, just two weeks ago. The Clarity Act, a bill designed to regulate the cryptocurrency and blockchain spaces in the U.S., may also help to boost the sector, after advancing through the committee on Friday, July 24, though it continues to await Senate approval. Please see our Did You Know? – About The Clarity Act blog, dated 7-26-26, for further information.
***As always, this information is not intended to be financial advice, or any specific buy or sell recommendation, but rather a guide to assist the reader in some further understanding of current economic conditions/movements in the sky, and how they can affect moods, behaviors, world events, and financial markets.
