Traders buying a lot of calls on stocks

On the ISE exchange on Thursday, traders bought to open nearly 350 call options on stocks for every 100 put options. That's among the most ever, with mixed results after the other very high readings. The Backtest Engine shows that when it was 250 or higher, the S&P 500 showed a slight negative bias up to two months later, with a -0.4% average return and 49% probability of showing a positive return. When it was that high and traders were buying a lot of index puts, with that ratio below 50, then two months later the S&P averaged a return of -2.1% and 44% win rate, but most of those losses were from 2007. Overall, it's a very slight negative.