Is this a rock solid rule? The Put/Call ratio indicates
The Put/Call ratio indicates a higher number of call options traded relative to put options. When it reaches extreme levels it acts aa a contrarian indicator, some events are highlighted in the chart.
The current level is comparable to July’s.
Is this a rock solid rule? No, but it is what I mentioned in yesterday’s $.SPX(.SPX)$ post about this bearish signal.
$SPDR S&P 500 ETF Trust(SPY)$ $Invesco QQQ(QQQ)$ $iShares Russell 2000 ETF(IWM)$
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SPX - Retest of the 5DMA + Bearish Cross in Stochastic
At this point the indecisive candle precedes a fall, which it is the most likely scenario
There is a contrarian indicator though, the Put/Call Ratio is too bearish. For that reason a wait and see approach is valid. $5957 is the key level that must be defended by bulls today.
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- KSR·11-15👍LikeReport