Is that bad news for the stock market? Not necessarily. A researcher at the Web site Seeking Alpha has looked into how the investor sentiment reading correlates with movement in the markets, and found that when the bullish sentiment drops below 25 percent, the S&P 500 has a strong tendency to go up over the next six months. In other words, the more pessimistic investors get, the more likely we are to see a rebound in the equity market.