Yet another way of looking at over-bullishness and extreme exuberance and speculation: the Dow Jones Industrial and S&P 500 BPI (bullish percent index) show that we are back at the extreme reached in April 2010, and probably past the previous extremes of 2007 when equities where making a major top.
BPI for DJ Indu - note how the RSI has been stuck in extreme overbought position for several months
BPI for SPX - note how the RSI has been stuck in extreme overbought position for several months
The VXO index is a measure of volatility, and to a large extent is far more relevant than the VIX, the same way that the CCI (constant commodity index) is more relevant than the new CRB index, which is tightly biased toward oil and energy commodities.
Well, the VXO is at a multi year low.
The previous charts show how much complacency is reaching extreme levels. Note that it's hard to think otherwise, given that the market really is unable to take any down day, and is crawling higher and higher on dismal economic news that ignorant people consider as bullish because they do not read past the headlines (such as unemployment figures, or bank profits, for easy examples).