From Schaeffer’s Research:   The recent peak in QQQ’s 10-day, 10% out-of-the-money put/call skew may be most useful right now as a sentiment indicator — one that reveals traders are bidding up the odds of a QQQ crash over a continued rally to record highs by the widest margin in eight months, even as the shares remain (by any objective account) on strong technical footing above their 80-day.

qqq-10-day-ootm-pc-skew-0707

As contrarians we view this as quite bullish.  More here:  www.schaeffersresearch.com

Hat tip Brian Gilmartin of Trinity Asset Mgmt.