Asleep at the wheel

Posted on 21 October 2009

Just checked in on 3 measures of investor sentiment…may as well plaster them here too…

CBOE Put/call ratio – we haven’t seen times like this since, well geez, seems like forever. Just pointed out a few of the recent lows in the index and what was happening to the S&P500 at the time:

CBOE putcall ratio

CBOE VIX index – the volatility index is back to levels not seen since before the crisis tipped into the chasm. Not to say it is plumbing the depths – just that it is back to more sane levels (let’s be fashionable and call it the ‘new normal’ – where the ‘old normal’ was the debt driven contraction in all things risk that had the VIX morbidly rolling around under 20):

VIX

And the Bullish Percent Index for the S&P500 – this is an aggregation of point and figure charts for the companies that make up the index. The bullish percent is the proportionate number of buy signals from this charting technique:

Bullish percent