CITI: We See A 'Clear Warning Sign Of Substantial Complacency'

Citi's Panic/Euphoria model has a pretty extraordinary track record for predicting returns. It's a contrarian indicator, which means a "euphoria" signal is bearish and a "panic" signal is bullish.  According to Citi, the model's components include "NYSE short interest ratio, margin debt, Nasdaq daily volume as % of NYSE volume, a composite average of Investors Intelligence and the American Association of Individual Investors bullishness data, retail money funds, the put/call ratio, CRB futures ...