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Definition · updated 2026-10-21
Put/call ratio
The put/call ratio divides put volume (or open interest) by call volume for a ticker or the whole market. Above 1 means more puts than calls are trading; it is read as a contrarian sentiment gauge, with extremes of fear often near short-term lows. On OptionScout the GEX page's put/call sentiment weights the same idea by gamma.
See it live: today's GEX levels by ticker.
Reading it carefully
Index puts are mostly hedges, so a high SPX put/call ratio is normal and not panic. Single-stock ratios are noisier and more useful for extremes. Compare with the stock's own history rather than with a fixed number.
Frequently asked questions
- What is a normal put/call ratio?
- For the equity market as a whole, roughly 0.6–0.9 by volume; above 1.1 has historically been a fear reading. Indices run higher because of hedging.
- Is the put/call ratio a buy signal?
- Extremes are a contrarian input, not a signal. Pair them with dealer positioning: fear plus a put wall under price is a different picture from fear plus negative gamma.