Define the numerator
A volume ratio and an open-interest ratio answer different questions.
Options & Market Structure · PDF FIELD GUIDE · 2026
Put-Call Ratio Explained
Put-Call Ratio Explained is ScriptMasterLabs' four-page PDF guide ($19 one-time, per the offer box) for interpreting put-call ratios as descriptive aggregates with regime and product context. Its four ideas: define the numerator, separate product groups, avoid fixed thresholds, and remember sentiment is not timing — plus a six-step review process and sources from the OCC, Cboe, and FINRA.
Volume, open-interest and index-specific sentiment context
SML-OPTIONS-0104-PAGE PDF$19 ONE TIMEINSTANT DELIVERY
THE OUTCOME
How should you interpret put-call ratios?
Interpret put-call ratios as descriptive aggregates with regime and product context — aggregate ratios do not reveal every participant's intent and are not standalone signals.
Use this guide to: Compare put-call ratios by dataset and timeframe without treating one ratio as a trading signal.
CORE MODEL
What are the four ideas to consider before acting?
The four ideas: define the numerator, separate product groups, avoid fixed thresholds, and remember that sentiment is not timing.
Separate product groups
Index puts may reflect portfolio hedging while single-stock activity may have different drivers.
Avoid fixed thresholds
A historically high reading depends on the series, lookback and current market regime.
Sentiment is not timing
Contrarian readings can persist and do not specify an entry or exit. Prediction markets are another sentiment read — see LiveWire prediction market intelligence.
ACTION CHECKLIST
What is the six-step review process?
The six steps: name the exact ratio series, record the calculation window, separate equity and index options, compare with its own history, check volatility and trend context, and avoid converting one ratio into a trade signal.
- Name the exact ratio series
- Record calculation window
- Separate equity and index options
- Compare with its own history
- Check volatility and trend context
- Avoid converting one ratio into a trade signal
PRIMARY SOURCES
How do you verify the moving parts?
The PDF includes a source map and explicit research boundary. Product and regulatory details can change; current official material controls.
OCC — Characteristics and Risks of Standardized Options →Cboe Options Institute →FINRA — Options →TRUTH BOUNDARY
Aggregate ratios do not reveal every participant's intent and are not standalone signals.
AI tools assisted drafting and layout. SCRIPTMASTERLABS is responsible for editorial structure and source selection. No personalized investment, legal, tax, medical, regulatory, advertising or cybersecurity advice.
FAQ
What should you know before you buy?
Before you buy: it is a four-page PDF delivered after Stripe Checkout, a one-time purchase — and aggregate ratios do not reveal every participant's intent and are not standalone signals.
What format is this product?
A four-page PDF field guide delivered immediately after successful Stripe Checkout.
Is this a subscription?
No. It is a one-time purchase.
Does this guarantee a result?
No. Aggregate ratios do not reveal every participant's intent and are not standalone signals.
Put call ratio: what is included?
4 pages in a fixed-layout PDF: Equity and index ratios, sentiment context and interpretation limits. This is a compact field guide with review checks and source notes.