Call/Put Ratio
This indicator is calculated by dividing the daily or weekly volume of
call options by the daily or weekly volume of put options. Big call volume
appears at market tops and big put volume at bottoms. Only CBOE equity
options or all CBOE options should be used for this indicator. Call/put
ratios of the indices like OEX and SPX are distorted and clouded by arbitrage
and hedging and do therefore not always reflect true investor sentiment.
The chart below shows you the weekly call/put ratio on a 4-week moving
average to smooth out the swings.
Dow Jones for comparison | S&P 500 for comparison | Main Menu | Updated charts are available on WallStreetCourier.com
Past performance does not guarantee future results!
