The three bands marked represent reversal zones for tops (red) and bottoms (green) with the mid-band (blue) showing where these two levels overlap. It is clear this ratio is well inside bottom territory and isn't close to challenging the blue mid-band which frequently marks the level at which the Nasdaq peaks. Sizable divergences occur at ratio highs and lows, but these offer little practical use.

Dr. Declan Fallon, Senior Market Technician, Zignals.com the free stock alerts, market alerts and stock charts website