Put Call Fiesta

• Posted by Adam Warner
• on March 19th, 2010

Looked at some tweaked put/call numbers over at Optionszone.

What I do basically is convert to a rolling 5 Day put total divided by a 5 day call total. It’s not that cosmically different a picture from the chart above, the difference being that 1 day readings are incredibly noisy (as you can kind of see from the chart) and simply taking an MA of the last 5 published Put/call readings won’t weight them properly. Picture if total volume today was 5x yesterday’s, a simple MA would weight them the same. I should probably tweak further and use an exponential MA instead of a simple, but I’m only going out 5 days so not sure that would make a huge diff.

Anyway, yada yada yada, it basically confirms what the VIX is telling you, we’re just complacent. Please click thru for the article.

 

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