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Stocks are up, but the bulls aren't exactly kicking down the door to buy

Nov 17, 2015, 22:21 IST

Stocks are up today.

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And they're way up from their lows of the year.

But while prices may be up, it seems that a lot of traders and investors have actually been sitting out this year.

"Examining volume over the past few weeks shows it was not too spectacular," FBN Securities JC O'Hara said.

FBN Securities
FBN Securities

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Remember, price only indicates the price agreed to by the last buyer and seller. It doesn't reflect how many shares have been exchanging hands in the markets.

Perhaps this reflects caution in the markets. Indeed, data from Bank of America Merrill Lynch showed that of the trades being made, there has been a flow from cyclical stocks to defensive stocks.

It's hard to say if this is a sign of bad things to come.

On the contrary, it could be a sign of pent-up bullishness just waiting to be unleashed.

"A measure of cumulative volume suggests bulls are not kicking down the door to buy stocks ... which means still plenty of demand," O'Hara said.

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