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Chart of the Week: S&P 500 vs. Continuous Crude Oil Contract

Posted By Barry Ritholtz On November 22, 2004 @ 1:01 pm In Economy | Comments Disabled

This chart helps visually highlight the chart we just displayed above and hammer home the point that the next move in crude from its support should dictate near term market direction.

S&P 500 vs. Continuous Crude Oil Contract    
click for larger chart

Spx_v_crude [1]

Source: Technimentals

As this layover chart shows crude and the S&P have tended to remain inversely related. When crude scored its recent peak (black arrow) the S&P was setting a trough (blue arrow) and as crude continued to fall the S&P continued to rally.

Random Items:

Economics Roundtable [2] 

Amateur-to-Amateur [3]

Economic Histories of the Opium Trade [4]

The true story of Audion [5]

Abolish the FCC [6]

The Information in Option Volume for Stock Prices [7]

Quote of the Day:

“Whoever wants to reach a distant goal must take many small steps.” 

-Helmut Schmidt [8], German Chancellor


Article printed from The Big Picture: http://www.ritholtz.com/blog

URL to article: http://www.ritholtz.com/blog/2004/11/chart-of-the-week-sp-500-vs-continuous-crude-oil-contract/

URLs in this post:

[1] Image: http://bigpicture.typepad.com/photos/uncategorized/spx_v_crude.jpg

[2] Economics Roundtable: http://www.economicsroundtable.com/index.php

[3] Amateur-to-Amateur: http://papers.ssrn.com/sol3/papers.cfm?abstract_id=601808

[4] Economic Histories of the Opium Trade: http://www.eh.net/encyclopedia/?article=chandra.opium

[5] The true story of Audion: http://panic.com/extras/audionstory/

[6] Abolish the FCC: http://www.changethis.com/8.AbolishTheFCC

[7] The Information in Option Volume for Stock Prices: http://www.mit.edu/people/junpan/volume.pdf

[8] Helmut Schmidt: http://en.wikipedia.org/wiki/Chancellor_of_Germany

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