Sunday, March 13, 2016

CPCE Put/Call Ratio and SPX S&P 500 Daily Charts Signal Near-Term Market Top At Hand

Keystone posted the put/call charts a week or so ago at that low in early March at 0.55 so you knew a market pull back was on tap due to complacency. A minor pull back occurs but it was paltry. The red circles show stock market tops and green circles market bottoms. Traders begin expressing fear and panic a few days ago which created a market bottom and rally. What do you think will happen now?

A stock market top is at hand at any time. The FOMC rate decison and press conference is on Wednesday afternoon. Stocks would be expected to top out at any time any day ahead and the pull back may be sharp and swift and not paltry. A large fast drop lower for stocks may be on tap but then a quick recovery is likely with the holiday-shortened week next week. The weekly chart indicators are long and strong so there are likely higher highs than now coming late this month or into April. The path there, however, may be a big flush lower and then sharp recovery. 

Do not be complacent. Adjust positions for a likely sharp drop at anytime. Check the CPC put/call that may need to come down more to confirm the CPCE. This information is for educational and entertainment purposes only. Do not invest based on anything you read or view here. Consult your financial advisor before making any investment decision.

No comments:

Post a Comment

Note: Only a member of this blog may post a comment.