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Strategies & Market Trends : CFZ E-Wiggle Workspace

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To: the-phoenix who wrote (3650)7/7/2003 3:48:48 PM
From: John Madarasz  Read Replies (4) of 41499
 
MNX P/C ratio was HUGE last Thursday...those guys are hardly ever wrong...this mkt seems to defy all odds...

volume doesn't seem that light

finance.yahoo.com^TV.O&d=c&t=5d&l=on&z=b&q=l

Since MNX options began trading, there have been 18 days in which total put volume came in better than four times total call volume. In every case but two the Nasdaq posted a lower close within two sessions...

07/03/03 MNX p/c 20.19... ???
06/25/03 MNX p/c 4.97... No lower close within two days
05/22/03 MNX p/c 6.36... Nasdaq -0.1% one day later
03/28/03 MNX p/c 4.66... Nasdaq -2.7% one day later
08/21/02 MNX p/c 6.61... Nasdaq -2.4% two days later
05/31/02 MNX p/c 4.96... Nasdaq -4.1% one day later
04/09/02 MNX p/c 5.43... Nasdaq -1.5% two days later
02/06/02 MNX p/c 4.99... Nasdaq -2.2% one day later
01/22/02 MNX p/c 4.64... No lower close within two days
12/28/01 MNX p/c 8.85... Nasdaq -2.7% one day later
12/21/01 MNX p/c 9.04... Nasdaq -0.1% one day later
11/26/01 MNX p/c 6.31... Nasdaq -0.6% one day later
08/31/01 MNX p/c 4.53... Nasdaq -3.1% one day later
06/29/01 MNX p/c 6.67... Nasdaq -0.3% one day later
05/25/01 MNX p/c 14.23... Nasdaq -4.4% one day later
05/08/01 MNX p/c 4.74... Nasdaq -2.7% one day later
03/15/01 MNX p/c 4.36... Nasdaq -3.0% one day later
01/30/01 MNX p/c 33.90... Nasdaq -3.5% one day later
10/24/00 MNX p/c 4.84... Nasdaq -7.3% one day later

MNX (Mini Nasdaq) Put/Call Ratio. The put/call ratio divides total put volume by total call volume. Traders of MNX options seem to have a knack for determining short-term tops and bottoms in the Nasdaq. Keep an eye out for readings above 3.0, which signals heavy put volume. Such a reading generally precedes a short-term selloff in the NDX. Similarly, keep an eye out for readings under 0.50, indicating unusally heavy call volume. A short-term rally will generally begin soon thereafter. Note that there's only a limited amount of historical data available for MNX options

astrikos.com
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