Interpretation of PCR

PCR - PUT CALL Ratio It is a way to measure whether traders are feeling bullish or bearish about the market. To calculate it, you just need to divide the open interest of PUT options by that of CALL options.

PCR is a market sentiment indicator and is used as a contrarian indicator by many traders

Analysing PCR PCR > 1 is Bullish PCR = 1 is Neutral PCR < 1 is Bearish Above 1.5 and Below 0.5 are extreme zones and are likely places where on-going trend can halt or reverse




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