The market is finally oversold but it is not a great reading as you can see in the chart below.
Click to enlarge chart
Below is the raw data that goes into this indicator. We will be dropping moderately negative readings for the next four days and for six out of the next 10 days. At a good oversold reading we generally drop a lot of large negative numbers, which we do not see here.
The put/call ratios are not giving a strong signal either but are closer to buy signals than sell signals. Below is the 10 day moving average of the CBOE put/call ratio. All the put/call ratios look similar, whether one looks at equity only or the ISE readings.
Click to enlarge
All in all the data I presented does not make a table-pounding case for stocks. But it is enough to leave me with a short term bullish bias for the next few days.
Disclosure: I am long SPY.