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Options Flow

CBOE Put/Call Ratios

Put/Call ratios measure the trading volume of put options (bearish bets) versus call options (bullish bets). The CBOE publishes daily ratios across different option categories, providing insight into how traders are positioning themselves.

Total Put/Call Ratio
Primary sentiment indicator
0.91
Total Put/Call
0.91
Index Put/Call
0.96
Equity Put/Call
0.57
VIX Put/Call
0.30
ETP Put/Call
1.31
SPX Put/Call
1.00

Understanding Put/Call Ratios

The Put/Call ratio is calculated by dividing put option volume by call option volume. It's primarily used as a contrarian sentiment indicator.

How to Interpret

  • Below 0.7: Bullish sentiment (more calls being bought)
  • 0.7 - 1.0: Neutral sentiment range
  • Above 1.0: Bearish sentiment (more puts being bought)
  • Above 1.2: Extreme bearishness, potential contrarian buy signal

Contrarian Logic

  • High put buying often signals excessive fear (buying opportunity)
  • Low put buying suggests complacency (caution warranted)
  • Extreme readings tend to precede market reversals
  • Works best at sentiment extremes

Different Ratio Types Explained

Total Put/Call

  • Combines all option types into one measure
  • Most commonly cited ratio
  • Good general sentiment gauge
  • Historical average around 0.9

Index Put/Call

  • Broad market index options (SPX, etc.)
  • Reflects institutional hedging activity
  • Often higher due to portfolio protection
  • Less useful as sentiment indicator

Equity Put/Call

  • Individual stock options only
  • Reflects retail trader sentiment
  • More volatile, often lower than index P/C
  • Historical average around 0.6

VIX Put/Call

  • Options on the volatility index itself
  • High ratio = betting on volatility decline
  • Low ratio = expecting volatility spike
  • Advanced indicator for volatility traders

ETP Put/Call

  • Exchange-traded products (ETFs, ETNs)
  • Includes leveraged and inverse ETFs
  • Can be skewed by hedging activity
  • Often higher than equity P/C ratio

SPX Put/Call

  • S&P 500 index options specifically
  • Popular for institutional hedging
  • High volume makes it reliable
  • Often elevated due to put protection

Practical Usage Tips

  • Focus on the equity P/C for retail sentiment
  • Watch for multi-day trends, not single readings
  • Combine with price action for confirmation
  • Extreme readings work better than moderate ones
  • Don't use P/C ratios as your only decision factor
  • Index P/C is often elevated due to hedging, not bearishness
  • Moving averages (5-day, 10-day) smooth out noise

For detailed charts and technical analysis, we recommend TradingView.