S&P 500 looks overdue for a pullback, according to key options market metric. The anti-risk Japanese yen would draw bids if stocks drop. The two-month average of S&P 500’s put-call ratio has jumped to insanely high levels, which in the past, have led to pullbacks and corrections in the stock market, according to sentiment trader and strategist Troy Bombardia, The put-call ratio refers to the proportion of all the put options or bearish bets and all the call options or bullish bets purchased on any given day, The metric is widely used to gauge investor sentiment. As of Monday, the S&P 500’s put-call ratio was 0.56. “The last time this happened was before stocks crashed in February 2020,” Bombardia tweeted. If the historical data related to the put-call ratio is a guide, the JPY crosses may be trading close to topping out. A stock market correction, if any, will likely strengthen the bid tone around the anti-risk Japanese yen, pushing JPY crosses lower. At press time, USD/JPY is trading largely unchanged on the day at 107.34. FX Street FX Street FXStreet is the leading independent portal dedicated to the Foreign Exchange (Forex) market. It was launched in 2000 and the portal has always been proud of their unyielding commitment to provide objective and unbiased information, to enable their users to take better and more confident decisions. View All Post By FX Street FXStreet News share Read Next AUD/USD Price Analysis: Drops nearly 30 pips from session highs FX Street 3 years S&P 500 looks overdue for a pullback, according to key options market metric. The anti-risk Japanese yen would draw bids if stocks drop. The two-month average of S&P 500’s put-call ratio has jumped to insanely high levels, which in the past, have led to pullbacks and corrections in the stock market, according to sentiment trader and strategist Troy Bombardia, The put-call ratio refers to the proportion of all the put options or bearish bets and all the call options or bullish bets purchased on any given day, The metric is widely used to gauge investor sentiment. As of Monday, the… Regulated Forex Brokers All Brokers Sponsored Brokers Broker Benefits Min Deposit Score Visit Broker 1 $100T&Cs Apply 0% Commission and No stamp DutyRegulated by US,UK & International StockCopy Successfull Traders 9.8 Visit Site FreeBets Reviews$100Your capital is at risk. 2 T&Cs Apply 9.8 Visit Site FreeBets Reviews$100Your capital is at risk. 3 Recommended Broker $100T&Cs Apply No deposit or withdrawal feesTrade major forex pairs such as EUR/USD with leverage up to 30:1 and tight spreads of 0.9 pips Low $100 minimum deposit to open a trading account 9 Visit Site FreeBets ReviewsYour capital is at risk. 4 T&Cs Apply Visit Site FreeBets ReviewsYour capital is at risk. 5 Recommended Broker $0T&Cs Apply Trade gold, silver, and platinum directly against major currenciesUp to 1:500 leverage for forex trading24/5 customer service by phone and email 9 Visit Site FreeBets ReviewsYour capital is at risk.
