Friday, May 27, 2011

Too Sunny

The options market is showing a lot of complacency today, with very low put call ratios on a weak up day.  Usually you need at least up 1% or a strong uptrend to get these kind of low put call ratios.  It's almost as if a weaker dollar is all that's needed to get traders positive.  Along with the layers of resistance from 1332 to 1340, it is looking like a high reward low risk zone for shorts here.

1 comment:

Anonymous said...

I would agree with the short from here. Asian markets up 2% and we can only muster 1/2%...no one belives the rally.