ISEE Sentiment Indicator

AAA

DEFINITION of 'ISEE Sentiment Indicator'

A measure of investor sentiment in the market measured by looking at the number of opening long call options to opening long put options purchased on the International Stock Exchange. The measure only considers the purchases of customers and does not include the purchases made by market makers, as customers are thought to be the best measures of sentiment.

ISEE Sentiment Indicator

INVESTOPEDIA EXPLAINS 'ISEE Sentiment Indicator'

If the value of the indicator is above 100, it means that more long call options have been purchased by investors than long put options. If the indicator is below 100, it means that more long puts have been purchased compared to long calls. The higher the index is above 100, the more bullish the market sentiment is thought to be, with measures below 100 signaling bearish sentiment.

RELATED TERMS
  1. Put Option

    An option contract giving the owner the right, but not the obligation, ...
  2. Put-Call Ratio

    A ratio of the trading volume of put options to call options. ...
  3. Bull/Bear Ratio

    A market-sentiment indicator published weekly by Investor's Intelligence ...
  4. Sentiment Indicator

    A graphical or numerical indicator designed to show how a group ...
  5. Market Psychology

    The overall sentiment or feeling that the market is experiencing ...
  6. Call Option

    An agreement that gives an investor the right (but not the obligation) ...
Related Articles
  1. Investors Intelligence Sentiment Index
    Technical Indicators

    Investors Intelligence Sentiment Index

  2. Forecasting Market Direction With Put/Call ...
    Options & Futures

    Forecasting Market Direction With Put/Call ...

  3. Volatility Index Uncovers Market Bottoms
    Options & Futures

    Volatility Index Uncovers Market Bottoms

  4. The Top Technical Indicators For Options ...
    Options & Futures

    The Top Technical Indicators For Options ...

comments powered by Disqus
Hot Definitions
  1. Accounts Payable - AP

    An accounting entry that represents an entity's obligation to pay off a short-term debt to its creditors. The accounts payable ...
  2. Ratio Analysis

    Quantitative analysis of information contained in a company’s financial statements. Ratio analysis is based on line items ...
  3. Days Payable Outstanding - DPO

    A company's average payable period. Calculated as: ending accounts payable / (cost of sales/number of days).
  4. Net Sales

    The amount of sales generated by a company after the deduction of returns, allowances for damaged or missing goods and any ...
  5. Over The Counter

    A security traded in some context other than on a formal exchange such as the NYSE, TSX, AMEX, etc. The phrase "over-the-counter" ...
  6. Earnings Before Interest After Taxes - EBIAT

    A financial measure that is an indicator of a company's operating performance. EBIAT, which is equivalent to after-tax EBIT ...
Trading Center