I updated my historical CBOE data. I think the equity-only put/call ratio is one of the most useful sentiment indicators to watch. In February there were three successive weeks of "disproportionate" put buying, which is very unusual. It makes me think that the 9500 level on the Dow is pretty solid. You can also see from the chart that put buying spiked to a never-before-seen level after the terrorist attacks last year.

Option buyers often behave like the folks who buy flood insurance when they're up to their knees in muck... the smart money fades these suckers.

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Chairman MaoXian