The divergence continues between the ratio and the market.
The put/call ratio is in general very volatile but with enough experience one can guess by and large what the market did just by looking at the ratio. It is not the case lately, however. The two are diverging again (green segments). I am saying "again" because the previous case was as recent as last week (red circles). In my experience, these divergences lead to a push higher by the market and at least a bullish spike in the ratio. This time may be no different and it supports my recent expectation of a move higher, around 1341 SPX, before another top attempt . The steep divergences in the cpc also lead bigger corrections.
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