Trade Tickers with the Most Consensus

Tip 5: Trade Tickers with the Most Consensus

Traders have the best chance of success when trading tickers with the most “consensus.”

Tickers with close to 100% bullish or bearish flow mean institutions are “in agreement” on whether they think the price will go up or down in the short term and are not typically part of a broader strategy.

Let’s take a look at the table below to illustrate.

Which ticker seems like the most promising to research?

• AMD: 34 trades with 35% put flow
• MPC: 3 trades with 69% put flow
• PSX: 4 trades with 100% put flow

PSX, of course! Multiple trades in the same direction are much clearer than more trades with mixed sentiment.

We still can’t trade blindly as options flow is only one piece of the puzzle, but having a consensus on options flow is a good signal and a great place to start.