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Strategies & Market Trends : MARKET INDEX TECHNICAL ANALYSIS - MITA

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To: Zeev Hed who wrote (10578)2/18/2002 5:33:03 PM
From: Road Walker  Read Replies (1) of 19219
 
Zeev,

re: You could construe that maybe it is a good counter indicator to the speculating "masses" or not, but it "correlates" and that is really what counts.

My observation is that it doesn't correlate, at least not in any meaningful way. Other options based indicators are far better, VIX & VXN or OI ratio trends.

I do realize you can get a very short term, day trading type of signal from the interday P/C ratio. But for any longer term trade, I think it's garbage in/garbage out.

John

EDIT - Heck, agree to disagree?
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