Warren Buffett famously advised investors to "be fearful when others are greedy, and greedy when others are fearful." This is the core principle behind the Fear & Greed Index.
It is a sentiment indicator that gauges the overall emotional state of the stock market, oscillating between extreme Fear and extreme Greed. By tracking these emotions, the index helps investors understand when the market might be overbought (due to greed) or oversold (due to fear), providing a valuable perspective on potential market extremes.
Not necessarily. Historically, "Extreme Fear" (below 20) often indicates that investors are too pessimistic. According to Warren Buffett, this is often the best time to buy ("Be greedy when others are fearful"). However, it requires confirmation from other indicators before entering.
Many traders use a contrarian strategy: They look for buying opportunities when the index is below 20 (Extreme Fear) and consider taking profits or hedging when the index rises above 80 (Extreme Greed).
💡 Pro Tip: Don't rely on the number alone. Check the Volume trend below to confirm if the fear is real.
Our server fetches and updates the latest data every 5 minutes during market hours. The trend arrow shows the change compared to the previous market close.
The live data and recent history are fetched from our API. The deep historical data (from 2011) has been compiled from reputable financial data sources. We analyze multiple factors including Market Momentum, Stock Price Strength, and Market Volatility (VIX).
Absolutely not. This dashboard is an informational tool designed to provide a perspective on market sentiment. It should not be used as the sole basis for any investment decisions. Always conduct your own thorough research.
Trading stocks, cryptocurrencies, and commodities involves a high level of risk and may not be suitable for all investors.
The data provided on FearGreedIndex.org is for informational purposes only and should NOT be considered financial advice.
We do not accept liability for any loss or damage, including without limitation to, any loss of profit, which may arise directly or indirectly from use of or reliance on such information.