put/call ratio
Kommentaari jätmiseks loo konto või logi sisse
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Sorry, mind hakkas huvitama put/call ratio sisu ja siin copypasten natuke..
kokkuv6te oleks et put/call ratio näitab kes eksivad: kui putte on rohkem siis turg t6useb ja calle siis turg langeb.
The stock market is a window into mass psychology. While each individual buy or sell order usually reflects the decision of just one individual, taken as a whole, the collective action represents the behavior of a group. For that reason, investors as a whole are sometimes referred to as “the crowd.” Given that market moves are due to decisions of a mass of market participants, or the crowd, and not one individual decision-maker, history is replete with episodes of crowd or mob behavior. Basically, under certain decision-making situations, the individual may act quite rationally, but as part of a crowd will act based on feelings and emotion. When emotions (fear and greed) reach extremes, stock prices will sometimes be pushed too far in one direction (too low) or another (too high). Put/call ratios are a tool for measuring extreme levels of fear and greed and attempting to determine whether stock prices have been driven to an extreme.
Given the nature and impact of crowd psychology on financial markets, many market analysts rely on sentiment analysis to gauge the overall attitude of the mass of investors, or the crowd. Studying market sentiment, in turn, is an endeavor in contrary thinking. In other words, one of the premises underlying the study of sentiment data is that, in the long run, it pays to go against the crowd. Specifically, when market sentiment becomes extreme in one direction or another, the contrary thinker will take a position against the crowd. For example, at the peak of selling and fear during the global financial crisis in the fall of 1998, the contrary thinker armed with an understanding of sentiment data, may have turned into a buyer. Indeed, when the market is gripped with fear and panic, the contrarian will look for opportunities to trade to the upside. On the other hand, when excessive optimism and greed overwhelm the crowd, the contrarian will turn cautious and look for opportunities to trade stocks to the downside.
Some market watchers prefer to use the CBOE total put/call ratio—which measures the total number of puts verses the number of calls traded on the Chicago Board Options Exchange (the numbers can be found for each trading day in the market statistics section of the cboe.com website). In most cases, there will be more call than put activity on the CBOE on any given trading day. Therefore, the CBOE put/call ratio is almost always below 1.00. A CBOE put/call ratio below .5 is bearish, between .5 and .85 neutral, and above .85 is bullish.
The more options activity associated with the stock or index, the more useful the put/call ratio. An important factor to consider, however, is that each stock, index, or market will have a distinctive put/call ratio and a unique trading range. Only when the ratio moves outside of its normal range will it be a sign of excessive fear or greed. -
Sama teemat on ka varasemalt käsitletud: Put/Call Ratio, Short Interest
