Fear & Greed Index
What it shows
The Fear & Greed Index aggregates market sentiment into a single 0–100 number: from extreme fear to extreme greed.
How to read it
The index works contrarian: when the crowd is most fearful, bottoms have historically formed, and at euphoric peaks, local tops. Treat it as a mood thermometer, not a basis for decisions.
Parameters
- Index value (0–100)
- Low values mean dominant fear, high ones euphoria and crowd greed.
- Positive reading: Extreme fear (below ~25) is historically a zone of pessimism and accumulation.
- Negative reading: Extreme greed (above ~75) is historically euphoria and elevated top risk.
- Neutral reading: Around 50 is a balanced sentiment, with no side dominating.
Example
The index at 18 (Extreme Fear) after panic is, contrarian-wise, historically an accumulation zone near bottoms. A value of 82 (Extreme Greed) is historically an overheated area with elevated risk; 45–55 means balanced emotions with no edge.