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To: Lizzie Tudor who wrote (59736)	6/1/1999 8:54:00 PM
From: BGR	Read Replies (1) \| Respond to of 164684

Michelle, Put/call ratio tending higher signifies that more people are betting on the short side than the long side, which is exactly the opposite of the situation 6 weeks back. When a trader buys a put/call, the market maker most probably doesn't sell a naked put/call because of the risks involved but instead short/buy the underlying equity in a hedged position. So, in effect the short interest is going up which is considered to be generally bullish. -BGR.

To: Lizzie Tudor who wrote (59736)	6/1/1999 9:03:00 PM
From: Sarmad Y. Hermiz	Respond to of 164684

Michelle, >> *Reverse* of what, please explain. The put/call ratio is what it says. The ratio of put contracts divided by call contracts. When traders feel optimistic they buy calls. When pessimistic they buy puts. BGR says more puts are being bought than calls in the past few days. Meaning traders are betting on a drop. Since traders are usually wrong (they buy at the top, sell at bottom) their pessimism is a sign the bottom is close and prices should *reverse* to the upside. By the way, why do you want to short tomorrow ? Prices are down 50% already. How much lower do you expect ?

To: Lizzie Tudor who wrote (59736)	6/1/1999 9:21:00 PM
From: Mark Fowler	Respond to of 164684

Michelle- IIX not close to taking out 293.4 resistance. One close above means nothing...and caution any retest that holds should be bought same picture on NDX. On COMPX a possible descending sym. triangle measuring down to 2198. On the Dow tested support, but it can't be hanging around the 50MA (major support) long or it'll fall through. Spx test support, 1284, if a stock or a index tests support to often in a short period, it will usually fall through. We need to get up off here in a big way soon. I still thinking scalp, in and out.