The same as yesterday, CPC closed below 0.7 was not a good sign. And this time it’s even more suspicious because right before the close, CPC dropped sharply below 0.6. It was due to a huge index call transactions. Whether this guy bought this huge call to hedge his position (bearish) or he knows that the market’s going to rally really really big (bullish), depends on whether you have bull or bear eyes. Personally, I don’t know. I just know something big is going to happen. Tighten your belt!
When CPC < 0.7, 9 out of 15 times (60%) a red day the next day. Well, I know it didn’t work well recently, but the point is 0.0.9 Extreme Put Call Ratio Watch. Pay attention to it tonight after 7:40 ET, I’m pretty sure a top condition was met AGAIN as both CPCI and CPC are way too low.