Concerns from observing a weird OPEX, Dr. Copper, LIBOR

Increasing Pressure from the Interbank Market (TED= LIBOR - T-BILLs)

Dr. Copper again leading the way

Chart 1: 10day Call/Put ratio

Chart 2: Call/Put ratio

This was a weird OPEX this go around because we had a nice bearish setup as seen in Chart 2 which resolved in a bullish melt up. What is surprising is the fact that the bullish action did NOT change the sentiment picture as we would have expected, meaning if you get creamed with your put positions you liquidate it ( think triggered Stopp Losses) rather then rolling it over (= sticking with your life insurance even if the premium has just gotten more expensive).

We notice the same in Chart 1 that continued to trend down (more life insurance buying) in a bullish move rather then seeing a solid upwards move into the area of the upper envelops (which would show conviction...).

The above is just an observation where something doesn't jive with a healthy market. This also adds to our concerns we see in the interbank market and copper....