Stocks with low FnO put to call ratio or PCR, indicating a bearish sentiment
Securities with FnO PCR < 0.5 indicates a bearish outlook. A low PCR ratio of less than 0.5 indicates that the number of calls sold is at least double that of the number of puts sold. Usually, institutional traders are the ones who sell options or futures as it requires significant capital. In this case, high number of calls sold indicates that institutional traders have a bearish outlook.
