Silicon Investor (SI) -- The First Internet Community

STOCKTALK

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 : Classic TA Workplace -- Ignore unavailable to you. Want to Upgrade?

To: AllansAlias who wrote (26441)	1/2/2002 10:22:00 AM
From: The Freep	Read Replies (1) \| Respond to of 209892

10:03 ET Economic Data : The ISM (formerly NAPM) index rose to 48.2% in Dec from 44.5% in Nov; consensus was 46.0%; the orders index jumped to 54.9% from 48.8%, which was the best news in this report; market turning up on this better than expected report. The "ISM"???? Economic dataism is the ism dismalist of all. the freep

To: AllansAlias who wrote (26441)	1/2/2002 10:23:04 AM
From: velociraptor_	Read Replies (2) \| Respond to of 209892

While I agree to a point, I also think those P/C ratios don't tell the whole story. Basically, they are a ratio of the number of puts and Calls being bought, but does not accurately reflect sentiment. The more accurate assessment would be a dollar weighted P/C ratio because all those Puts being bought may be far out of the money Puts while the Calls could be near or at the money. In this case, even if a large number of Puts are being bought, there is still more money being Put into calls, and those Puts would simply be a hedge since only the cheap ones are being bought. An analysis of which strike prices the Put and Call volume is going would be telling.