Options Trading

Options trading involves buying or selling contracts that give the holder the right — but not the obligation — to buy or sell an underlying asset at a specified price before a set expiration date. Call options give the right to buy; put options give the right to sell. Options are used for speculation, hedging, and income generation. The put/call ratio — a key sentiment indicator — is derived directly from options market activity, measuring the relative volume of bearish versus bullish options contracts. When the put/call ratio reaches extreme levels, it signals crowd sentiment has become overstretched. This is one of the core inputs in One-Signal's signal methodology, alongside the VIX and sentiment surveys. Members do not trade options through One-Signal — our signals cover spot and futures instruments across Gold, Silver, Oil, Bitcoin and the S&P 500.

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