My best bullish argument

Hi all. This is my first post here.

One of my favorite technical analysis bloggers is Brett Steenbarger at http://traderfeed.blogspot.com/

Last year he posted this study based on the Equity Put/Call Ratio.

http://traderfeed.bl...tio-signal.html

Ever since I've been using it as a signal for long entries. I made this chart to show how SPX acts in the weeks after this signal. On the chart I noted the first day of each cycle that the 5 day MA exceeded the 50 day MA by at least 20%. On both of the last two cycles (11/21 and 01/17) SPX lows came within one week of the signal and SPX closing price remained above those lows for at least six weeks after the 5 day MA dropped below the 20% mark. The 5 day just dropped below the 20% mark on Monday. So the way I see it, there's very little downside risk for the next 5 weeks.

Apollo

Apollo,
Thank you for this information-looks like a great tool.

Hi all. This is my first post here.

One of my favorite technical analysis bloggers is Brett Steenbarger at http://traderfeed.blogspot.com/

Last year he posted this study based on the Equity Put/Call Ratio.

http://traderfeed.bl...tio-signal.html

Ever since I've been using it as a signal for long entries. I made this chart to show how SPX acts in the weeks after this signal. On the chart I noted the first day of each cycle that the 5 day MA exceeded the 50 day MA by at least 20%. On both of the last two cycles (11/21 and 01/17) SPX lows came within one week of the signal and SPX closing price remained above those lows for at least six weeks after the 5 day MA dropped below the 20% mark. The 5 day just dropped below the 20% mark on Monday. So the way I see it, there's very little downside risk for the next 5 weeks.

Apollo

Mr.Dev's chart....looks better

http://stockcharts.com/c-sc/sc?s=$CPC&p=D&b=5&g=0&i=p48988328127&r=7544.png

Apollo, Welcome aboard. Nice chart! Keep em coming SL

Thanks, Apollo. Welcome Mark

McMillan shows 2 p/c buy signals today
http://www.traders-t...hp?showforum=45

i wrote down somebody saying:
CBOE equity put to call multi-year high of 1.38 on March 17th, a day that has all the markings of a capitulation low.

good links on p/c:
http://www.market-ha...ent/putcall.htm

http://www.schaeffer...cboe_eqpcr.aspx

http://cboe.com/data/IntraDayVol.aspx