Wednesday, August 6, 2008

Put/Call Ratio Hits 7-Month Low - What That's Meant

Normally I only post one study to the blog each day. Additional work is saved for Subscriber Letter recipients. But since August 6th is Independence Day in both Bolivia and Jamaica (as well as Ginger Spice’s birthday), I figured, “What the heck – let’s go for 2.”

The CBOE hit it lowest level since December 20th. That’s a quite a while. I checked to see what happened after other times it hit at least a 100-day low:



Score tonight Bears 2 – Bulls 0 (for the short-term).

2 comments:

Anonymous said...

CBI still at "0"? I thought that meant "buy".

I see the Nas, SP500, and DJIA as pullingback here as they are overbought on the "weekly".

Thoughts...?

Thanks,
dieselfuel

We Are...Penn State email list said...

dieselfuel: CBI still at "0"? I thought that meant "buy".

You thought wrong. Higher = looking for bounce. Zero is nothing, no bias either way.