Comments on: NASDAQ and Crude Oil Combo Index

By: Outtanames999

Outtanames999 — Thu, 28 Aug 2008 01:38:09 +0000

Now that the bubble has burst on oil, I’m wondering what your charts look like for the last 12 months.

By: piranha

piranha — Fri, 29 Jun 2007 12:44:07 +0000

OuttaNames,
You are correct but I didn’t see it necessary to include that line because the uppper trend line has been far more important since 2000.

By: OuttaNames999

OuttaNames999 — Fri, 29 Jun 2007 11:58:24 +0000

What about the bottom trendline (not shown on your charts)? If you had shown it, it would indicate a maximum potential spread between the lower boundary and the upper boundary (black dotted line on your chart) of about a 500 point trading range.

By: Chris

Chris — Thu, 28 Jun 2007 00:53:15 +0000

Thanks David! These secondary indicators can be extremely accurate over the years if they are used in sync with the primary price and volume signals.

By: David Kneupper

David Kneupper — Wed, 27 Jun 2007 18:00:46 +0000

Hey Chris...great post. I'm a big fan of ratio charts and use them myself in many combinations. In fact, I keep tabs on a Oil/NASDAQ Ratio as well, and observe similar things. The 8-year trendline the ratio broke above in fall 2006 was an important moment for the long-suffering NASDAQ. I explore this more in a recent post on the Tech Ratio. Consistently great stuff here, Chris.