Keep Your Eyes Peeled for a Monday Pop
Here's the camp I think most investors are in right now. They are betting on a correction or rest in the market, and they are betting any such move will be temporary.
The evidence I have for this comes in the form the various put-call ratios, because two of them read at quite extreme levels Friday. The put-call ratio of the CBOE Volatility Index (VIX) slipped under 20%, which is not very common. The reason it's so low is that many folks are betting on a higher VIX -- those who say the market needs a rest or a correction. The current reading, at 17%, is the lowest since June 28, although two readings have since come in at 19%. On the chart below, I have indicated with black arrows when these sub-20% readings arrived....360 more words left in this article. To read them, just click below and try Real Money FREE for 14 days.
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