With its new "Scoach Put/Call Sentiment", the Frankfurt certificate exchange Scoach offers a barometer for gauging the latest sentiment on the certificate market.
Investors can use the new information offer as a basis for their trading decisions.
The information tool includes all transactions in exchange trading of leverage products on the DAX underlying (knock-out products and warrants); measurement is made on the basis of volume traded. Purchases in calls plus sales in puts (optimistic) are divided by purchases in puts plus sales in calls (pessimistic) for the ongoing calculation of the Put/Call Sentiment.
The sentiment barometer registers a value between 0 (short investments only) and 1 (long investments only). For example, if the Scoach Put/Call Sentiment displays a value of 0.3, the majority of investors in the course of the day thus far have hedged on falling markets. Such information can offer useful hints, especially for short-term investment strategies.
Scoach has contracted the European Derivatives Group (EDG) to calculate this market barometer. The Call/Put Sentiment is published on an ongoing basis on the website.