Wednesday, November 14, 2012

psst...

Don't tell anybody you heard it from me, but here's the latest report from earningswhispers.com...

Since the black line remains above the gold line on the chart, and the gold line is most likely going lower this week, we see little reason to believe the S&P 500 has stopped dropping from its mid-September high. There is evidence that we are still weeks away from a buying opportunity too in our chart of the S&P 500 below.

the objective of the indicator is to identify when too many investors are betting too heavily in one direction, which tells us it is time to begin trading in the opposite direction. Over the past 12 months, it seems we've found a spot where the number of put options relative to calls places just such a floor in the stock market. Our put/call oscillator is currently a long way from reaching that level.

No comments: