Stock chart patterns and technical analysis (TA) explained simply. Disclaimer: This blog and all its contents are for educational and entertainment purposes only. Do not trade or invest based on any information seen on this blog. Please read Terms of Service. The K E Stone blog sites (Keybot the Quant) are blacklisted by Google, so enjoy the ad-free experience, and only use the Donate button when supporting the sites.
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Wednesday, August 28, 2013
CPC Put/Call Ratio Daily Chart
Looking more at the weekly and monthly time frame, say short to intermediate term, the best time to substantially increase shorts is at the sub 0.8 numbers. The best time to go long the markets and individual stocks is when the fear and panic shows up at CPC 1.20+. Traders remain very complacent despite Syria, the taper talk, the emerging markets crisis, the potential India, Indonesia and/or Brazil currency crisis, the U.S. debt deadline, and on and on. Traders firmly believe that Chairman Bernanke will always pat their behinds. So far he has, but will things change on 9/18/13? The CPC simply says it is not attractive to bring on longs until the 1.20+ prints. In the mean time, develop a long shopping list of stocks you would like to own, review their fundamentals, study their charts, and fine tune the list. Then, when the fear shows up, you will be ready to buy when there is blood in the streets. 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.
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