SI
SI
discoversearch

We've detected that you're using an ad content blocking browser plug-in or feature. Ads provide a critical source of revenue to the continued operation of Silicon Investor.  We ask that you disable ad blocking while on Silicon Investor in the best interests of our community.  If you are not using an ad blocker but are still receiving this message, make sure your browser's tracking protection is set to the 'standard' level.
Strategies & Market Trends : Stock Attack II - A Complete Analysis

 Public ReplyPrvt ReplyMark as Last ReadFilePrevious 10Next 10PreviousNext  
To: ajtj99 who wrote (33218)3/26/2002 9:43:03 PM
From: TechTrader42  Read Replies (2) of 52237
 
Something further regarding your observations on the put/call ratio and Bernie Schaeffer's mention today of the VIX.

The VIX, of course, reflects demand (and prices) for puts and calls. Increased demand for puts means higher prices and higher volatility (and higher risk). The reverse is true right now.

The put/call ratio is based on put/call volume. Now this may be a silly question, and maybe you or Paul or someone could help out, but could the emphasis on volume alone be skewing things to some extent? Maybe one has to look more closely at prices to see what the real demand is.

Also, given the volatile nature of the market at this time, maybe there's more hedging going on, on both sides -- hedged longs and hedged shorts. Since the trend hasn't been clear a lot of the time, maybe the idea has been to make money regardless of direction, either way. Any thoughts? (Bobby B.'s comments on lithium and bipolar disorder might speak directly to this market, funnily enough.)
Report TOU ViolationShare This Post
 Public ReplyPrvt ReplyMark as Last ReadFilePrevious 10Next 10PreviousNext