PCC trade ideas
Put/Call Ratio at Extreme LowsThe put/call ratio is at extreme lows and investors are becoming overly bullish while the S&P 500 hits all time highs. The VIX is still elevated and certain stocks look extremely overbought and overvalued while others are still down 10%-20% for the year. I think we are witnessing one of the biggest bubbles in history and it is just a matter of time before it pops!
Good Luck!
Contrary Indicator: Put/ Call Ratio Shows Urgent Put BuyingAs a simple Contrary Indicator,
the Put/Call Ratio reveals trader sentiment,
and can be used as a confirming contrary indicator,
to buttress market future direction
Right now the number of puts being bought for either speculation or hedging is rising,
heading back up towards the Dec 2018 and April 2019 put peaks,
which corresponded in major price bottoms in the the S+P 500.
That is why I am not super bearish on the market right now.
When too many gloom and doomers
are out there buying puts with their own money
hand over fist,like it's the end of the world,
I assure you the market should not reward them, by collapsing right now.
Overwhelming bearish sentiment could in time be building
an important intermediate price bottom in the S+P 500,
although it is too early to say where or when, that bottom will come from.
THE_UNWIND
8/15/19
NEW YORK