Crude Oil and Natural Gas Chart, Support and Trendlines

The Chart above shows Crude oil support levels at $100 a barrel and $87.71 a barrel. The 50% and 61.8% retracement from the three year lows matches horizontal resistance, which is good validation.

The bottom chart shows the ratio of Crude Oil to Natural Gas. We see the trend line of this ratio. If the ratio of Crude Oil to Natural goes back to trendline (around 12:1), then that means either Crude Oil continues to drop or Natural Gas increases or a combination of both.

Today's Chart

Stock Chart: LVLT (Level 3 Communications) has broken uptrend line? (June 15, 2007)

Level 3 Communications (LVLT), has been on a nice 2 year uptrend. However, recently, it looks like it has gone below the two year uptrend.

Looking closer at a 5 month chart:



We see that LVLT is underneath both the 50 and 200 day moving average, a bearish sign. Another bearish sign is that the 50 day moving average looks like it is about to go under the 200 day moving average (The Death Cross ).

The only positive I can see is that the stock has not breached the $5.20 support yet.


Note on Trend Lines:

Yes, give a chart to several chartists, and they may draw trend lines a bit differently. However, in the case above, the trend line looks correct, as the line is validated by six different points along the line. The Trend line also nicely supports the 200 day moving average.

Alternate Plays/Charts

Alternatively, Corning Incorporated (GLW), might be a good Alternative Play (Annotated Chart)