Understanding Ratio Charts in Thinkorswim

This tutorial provides a comprehensive guide on setting up and customizing ratio charts in thinkorswim. It explains the concept of ratio charts, which compare two tickers using division, and demonstrates how to set them up using the thinkorswim platform. The video covers the steps to customize the chart's appearance and settings, including moving averages and color schemes. It also offers tips on saving and loading chart styles for efficiency and creating a sector ratio grid. The tutorial emphasizes the importance of understanding the trend and trajectory of ratio charts rather than focusing on specific numerical values.

What is the primary purpose of a ratio chart?

• To analyze the trend and trajectory between two tickers

• To calculate the exact value of a stock

• To determine the absolute price of a ticker

• To compare the volume of two stocks

Why doesn't a simple division operation work in Thinkorswim's ticker search bar?

• Thinkorswim can't find symbols with division operators

• Division operations are only available in premium accounts

• The platform requires a special symbol for division

• Thinkorswim doesn't support division operations

Which option should you select to set up a ratio chart in Thinkorswim?

• Pair Ratio

• Price Ratio

• Volume Ratio

• Trend Ratio

What should you do to make the ratio chart occupy the bulk of the chart screen?

• Change the chart to a weekly timeframe

• Uncheck the show price subgraph option

• Add more tickers to the chart

• Increase the chart size

How do ticker symbols in the search box affect the ratio chart?

• They directly change the ratio calculation

• They modify the chart's color scheme

• They have no impact on the ratio chart

• They adjust the chart's timeframe

What can you customize in the ratio chart's moving averages?

• The volume indicators

• The color and style of the moving averages

• The number of tickers displayed

• The chart's background color

What is a time-saving tip for setting up ratio charts in Thinkorswim?

• Use default settings for all charts

• Avoid using moving averages

• Save the customized chart as a default style

• Only use pre-set styles

How can you organize sector tickers in a sector ratio grid?

• By using a flexible grid and customizing each cell

• By arranging them alphabetically

• By using a single chart for all sectors

• By setting them to the same color