Market Sentiment

Market sentiment refers to the overall attitude of investors toward a particular market or asset at a given point in time. It reflects the collective emotional bias — whether participants are predominantly optimistic (bullish) or pessimistic (bearish). Sentiment is distinct from fundamentals: a market can be fundamentally undervalued but sentiment can keep it depressed, and vice versa. Understanding sentiment is critical because prices are ultimately driven by human behaviour, not just data. Fear causes overselling. Greed causes overbuying. Both create opportunities for disciplined, systematic traders who can identify when emotion has pushed prices beyond rational levels. Market sentiment is the primary input behind One-Signal's trading framework. By tracking sentiment indicators including the VIX and put/call ratio across Gold, Silver, Oil, Bitcoin and the S&P 500, the system identifies emotional extremes and generates one clear daily signal.