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. Bull/Bear Ratio

    A market-sentiment indicator published weekly by Investor's Intelligence ...
  3. Call Option

    An agreement that gives an investor the right (but not the obligation) ...
  4. Market Sentiment

    The overall attitude of investors toward a particular security ...
  5. Sentiment Indicator

    A graphical or numerical indicator designed to show how a group ...
  6. Put-Call Ratio

    A ratio of the trading volume of put options to call options. ...
Related Articles
  1. Technical Indicators

    Investors Intelligence Sentiment Index

    This indicator can give a overall sense of bull and bear forces - learn what it is and how it's constructed.
  2. Options & Futures

    Forecasting Market Direction With Put/Call Ratios

    Options are not only trading instruments but also predictive tools that can help us gauge the feelings of traders.
  3. Options & Futures

    Volatility Index Uncovers Market Bottoms

    VIX can gauge when the market has hit bottom - a welcome sign of better things to come.
  4. Chart Advisor

    These 4 Stocks are Hitting Technical Headwinds

    These up trending stocks are showing signs of weakness, indicating it may be time to sell.
  5. Options & Futures

    What is the difference between a short position and a short sale?

    Learn how short selling and short positioning are different, specifically in regards to the nature of the commodity being bought and sold.
  6. Options & Futures

    Are there any risks involved in trading put options through a traditional broker?

    Explore put option trading and different put option strategies. Learn the difference between traditional, online and direct option brokers.
  7. Options & Futures

    Options -- Accessing Stakes In Apple At Less Cost

    Finding Apple stock costly to trade? Here are multiple ways to trade it through low-cost Apple options.
  8. Trading Strategies

    5 Ways To Adapt To Tough Markets

    Tough markets undermine profitability and lower self-confidence. Fight back with five simple but powerful rules of engagement.
  9. Options & Futures

    These Are The Top Brokerage Firms For Options Trading

    Trading options? Here is the list of the best brokerage firms for options trading, with features, functionality, and brokerage rates.
  10. Active Trading Fundamentals

    What is the difference between cash flow and fund flow?

    See how cash flow and fund flow differ from each other, and why fund flow can be used very differently by accountants and investors.

You May Also Like

Hot Definitions
  1. Weight Of Ice, Snow Or Sleet Insurance

    Financial protection against damage caused to property by winter weather specifically, damage caused if a roof caves in because ...
  2. Weather Insurance

    A type of protection against a financial loss that may be incurred because of rain, snow, storms, wind, fog, undesirable ...
  3. Portfolio Turnover

    A measure of how frequently assets within a fund are bought and sold by the managers. Portfolio turnover is calculated by ...
  4. Commercial Paper

    An unsecured, short-term debt instrument issued by a corporation, typically for the financing of accounts receivable, inventories ...
  5. Federal Funds Rate

    The interest rate at which a depository institution lends funds maintained at the Federal Reserve to another depository institution ...
  6. Fixed Asset

    A long-term tangible piece of property that a firm owns and uses in the production of its income and is not expected to be ...
Trading Center