I see low oil prices as sprinkling fish food into a stream..The big fish get the most benefit, the remainder floats around and attracts more fish that weren't there to begin with...I think AIR is not classed as a big fish.
Airlines V Oil correlation is not good...Recessions kills both Cyclical Airlines and Oil prices which upsets any (false) "logical" conclusions that correlation exists ....If we think this time the Oil price is not a reaction to negative Global economic growth...then perhaps there "could" be a hint of correlation.
The chart below illustrates AIR's relationship with Oil..Its a pity there is no very long term freely available chart data to validate accurately the relationship.
...also...
AIR is testing the psychological $3.00 Resistance
The $3.00 resistance theory (chart) v Practical (Depth)...the depth shows the charted resistance line is quite strong..
The cyclical resistance is not far away...
If AIR is not a true cyclical
* (Averaging positive Organic growth within its market environment over decades) then the cyclic resistance could be under threat
*...True Cyclical companies grow strongly during good economic times and shrink strongly during bad economic times...net result over time = no
overall growth (flat line, no trend)
http://i458.photobucket.com/albums/q...2011012016.png