$OEX Put Call ratio 10DMA, note in bottom window that the PC
ratio was making highs bofore the market sell off in 2016 and Sept
2018, potentially because Institutions are buying puts before the
sell off. There may be a positive div in the bottom window at
the market lows. Interesting!!
Posted by sschulman on 24th of Oct 2018 at 10:46 pm
Wow! this might be a genuine forward-looking indicator! But then
again, there are so many places that institutions might buy puts.
But then again, this chart is impressive!
$OEX The charts are available in the DPMI Chart Packs in
stock charts (Put Call Ratio Chart Packs). Note the COBE and
Equity PCs behave the way you would expect. Low at Market highs and
high readings at market lows. The $OEX are potentially the big caps
held by large institutions which is why we may have a good
indicator prior to large corrections, that works sometimes.
It seems to have worked in last 4 or so years . But not
at all major corrections in past 20 years. This concept came from
Bruce Fraser (who writes on Stockchart.com) from his
Wyckoff work. Wyckoff considers the buying and selling of
large Institutions in the moving markets.
A possible reason for the high $OEX PC before large market
breakdowns is the Institutions are buying puts, and reversion
potions as the market drops to the low. Hence the PC ration is
getting lower now as the market drops. This is a hypotheses only
put forward by Bruce Fraser. But makes sense.
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$OEX Put Call ratio 10DMA,
Posted by elliotw on 24th of Oct 2018 at 08:13 pm
$OEX Put Call ratio 10DMA, note in bottom window that the PC ratio was making highs bofore the market sell off in 2016 and Sept 2018, potentially because Institutions are buying puts before the sell off. There may be a positive div in the bottom window at the market lows. Interesting!!
Wow! this might be a
Posted by sschulman on 24th of Oct 2018 at 10:46 pm
Wow! this might be a genuine forward-looking indicator! But then again, there are so many places that institutions might buy puts. But then again, this chart is impressive!
$OEX The charts are
Posted by elliotw on 24th of Oct 2018 at 11:59 pm
$OEX The charts are available in the DPMI Chart Packs in stock charts (Put Call Ratio Chart Packs). Note the COBE and Equity PCs behave the way you would expect. Low at Market highs and high readings at market lows. The $OEX are potentially the big caps held by large institutions which is why we may have a good indicator prior to large corrections, that works sometimes. It seems to have worked in last 4 or so years . But not at all major corrections in past 20 years. This concept came from Bruce Fraser (who writes on Stockchart.com) from his Wyckoff work. Wyckoff considers the buying and selling of large Institutions in the moving markets.
A possible reason for the
Posted by elliotw on 25th of Oct 2018 at 12:05 am
A possible reason for the high $OEX PC before large market breakdowns is the Institutions are buying puts, and reversion potions as the market drops to the low. Hence the PC ration is getting lower now as the market drops. This is a hypotheses only put forward by Bruce Fraser. But makes sense.