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can options premiums be used for understanding market trends? as being too expensive or looking cheap?

can options premiums be used for understanding market trends? as being too expensive or looking cheap? how can I get the volatilites for currencies?
how can read the open positions report to unerstand trends? thanks in advace

Using the Put/Call ratio one can get a feel for the direction of the stock.
Generally higher than 3 is a bearish indicator and less than 0.3 is bullish indicator.

This entry was posted on Thursday, February 18th, 2010 at 2:51 am and is filed under market trends. You can follow any responses to this entry through the RSS 2.0 feed. You can leave a response, or trackback from your own site.

2 Responses to “can options premiums be used for understanding market trends? as being too expensive or looking cheap?”

  1. Spock (rhp) Says:
    February 18th, 2010 at 8:27 am

    these pathetic forums are not the right place for your questions.

    search for better forums oriented specifically to trading.

    ***
    did you read up on the Black-Scholes Option Pricing formula already?
    References :
    investor

  2. Radar Man Says:
    February 18th, 2010 at 9:12 am

    Using the Put/Call ratio one can get a feel for the direction of the stock.
    Generally higher than 3 is a bearish indicator and less than 0.3 is bullish indicator.
    References :

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