As we all know, the people who are getting engaged in trading should be aware of all the trading tactics in order to handle any kind of situation at the best. PCR is one such tactics which is widely used by all the traders to make a better prediction over the option market. It can also be said that this is a wonderful financial tool which can favor the investors in several means. The PCR is calculated based on several aspects. It is calculated based on the interest over call open in a day. It is also calculated based on trading volume and trading call.
Technically this ratio is indicated as the derivative indicator. Almost all the traders tend to use this tool to judge the options market in the most effective way. Based on the information gathered out of this calculation, the traders will make a better decision over their trading. In a put and call option, the call option is for knowing about the current market price for buying assets while the put option is about the prefixed price for purchasing the assets. Overall it can be said that the investors can make use of this tool to predict the direction of the options at the best..
Easy and effective
Even though they involve more significant benefits, today many traders are making use of this tool to make their investment easier and effective. Obviously this is also considered to be the right choice for the traders who don’t want to waste their time over unwanted factors. The traders who are handling put and call ratio for the first time for their trading can make use of the online reviews to understand them in better. The reviews will also help them to know the better way for calculating this ratio without any constraint.