That's how Bank of America Merrill Lynch describes hedge fund positioning into the end of 2014.
Large funds that speculate on market direction have more at risk in the stock market than at any other time in the last year, according to mid-December Commodities Future Trading Commission data of S&P 500 Index contacts that were analyzed by the bank in a new report.
Hedge funds that focus on stocks are also 36 percent net long, a reference to how much their bullish bets outweigh their bearish ones. That figure is down from 42 percent earlier in December but in line with benchmark positioning of 35 percent to 40 percent, according to Bank of America. So-called macro hedge funds, which bet on broad macroeconomic trends using various types of securities, also added to their bullish bets on the S&P 500 and Nasdaq.
"Technicals are bullish and [data averages suggest] longs may increase further," the report said.