correlation with asx/s&p200

I would like to draw people's attention to the correlation with ASX/S&P200 and the ROC Oil Share Price. To see a correlated graph go to ASX website and bring up ROC profile. On face value there is very little correlation EXCEPT when you look at the two significant upturns in the ASX sharemarket.

1. Middle of September
2. Late October, Early November

When the market rebounds, ROC Oil share price surges. The
shareprice went from:

1. $0.88 to $1.22 An increase of 13.86%
2. $0.45 to $0.79 An increase of 75.56%

The apparent correlation is undeniable. I think as ROC Oil becomes more oversold the potential gains become greater - When markets rebound liquidity goes to oversold "riskier" investments as people stop being risk adverse and dump defensive stock. Reasons for ROC sentiment:

1. Large Potential gains if market continues to surge
2. Stability around 30 to 35 cents - Low risk, 52 week low is at 30 cents (for short term traders only)
3. Potential outcomes of OPEC meeting - Russia (not an OPEC member) but has agreed to lower its output and with greater compliance of OPEC cuts Oil supplies should tighten and drive up the price in the short-term.

Expect a rally in the short term, which I would conservatively estimate ROC Oil share price to trade between 40 to 50 cents. Good luck investors!