This chart provides insight into how to use the SPX P/C ratio chart coupled with Bollinger bands to make high-probability trading decisions. Each time the P/C spikes above or below the Bollinger band it mean reverts that same day. For this example, I used the SPX daily chart to show when price action hit resistance the P/C chart rose to extremes quickly the next day resulting in a sell-off in the SPX. I hope this adds another weapon to your trading tool belt!