Put/Call Ratio – Option Buyer Sentiment Indicators

Posted on 02. Apr, 2010 by Founder in Blog

As we typically have done in the past a quick look at both the put/call volume ratio and the option buyer sentiment indicators suggest that the market has reached yet another bullish extreme.

We know we sound like a broken record here, but this is why these indicators are out there – to show us that the risk/reward for long positions is lopsided right now. There is too much greed in the market and not enough fear of a loss.

Put-Call Ratio Goes Below .50

Posted on 18. Mar, 2010 by Founder in Blog

Surprise, surprise. We’ve once again seen the equity put-call ratio dip below .50, indicating a relatively high level of bullishness among traders.

Put/Call Ratio Spikes Again

Posted on 16. Feb, 2010 by Founder in Blog

The put/call ratio again spiked this past week telling us that investor’s are getting to short term bullish on the markets. Enough said about this for now…

Put Call Ratio Still Bearish

Posted on 08. Feb, 2010 by Founder in Blog

The most recent check of the Put/Call ratio still shows a bearish reading. Although it has increased over the last week, we are nowhere near the levels around .85-.95 which typically signals major market lows.

Put/Call Ratio Trading

Posted on 07. Nov, 2009 by Founder in Blog

Trading using the put/call ratio can be very helpful in this market. Recently, the equity-only put-call ratios appear to still be feeling the effects of the hedging activity from earlier this year. As an FYI - the standard ratio is on a buy signal, while the weighted ratio is on a sell. Mixed, but worth knowing and thinking about this weekend.