Relative Strength Trading

tatrader

Junior member
39 7
November 27th update: The strongest stocks in the S&P500
We calculate the long- and short-term strength using a combination of appropriate momentum readings.

It’s a simple and objective way to choose strong stocks and profit from their strength.

You can use either the long-term or the short-term strength, or a combination of them that suits your strategy and time horizon.
500.jpg
 

tatrader

Junior member
39 7
December 4th update: S&P500 – The strongest stocks in the S&P500
500.jpg

December 4th update: S&P500 – one of the strongest stocks

501.jpg
 

NVP

Legendary member
37,700 2,062
My approach is based on the findings of research that securities that have been strong in the past will likely be strong in the future. Lots of Asset Allocation strategies are based on this well-documented finding.

I can mention Gary Antonacci's "Dual Momentum" explained in his official site https://dualmomentum.net/

I decided to use the same approach but with stocks instead of ETFs he's using.

I measured the momentum of the stocks contained in various Indexes, such as S&P 100, 400, 500 & 600, as well as NASDAQ, and I constructed charts like the one below:

t View attachment 290269

Both the long-term and the short-term are a combination of momentums at different time intervals.
I use these charts to choose stocks that have shown a satisfying combination of long- and short-term strength.

I post these charts, as well as some information I find useful, on my site: www.globalactivetrading.com

I'll be glad if you visit the site and tell me what you think. I'll be happy to answer any questions.

Any comments are welcome!

Thanks!
i will takea look ....thanks ...N
 

tatrader

Junior member
39 7
December 9th update: The strongest stocks in the S&P500

50.jpg


See below one of the strongest stocks shown in the above diagram:

51.jpg
 

tatrader

Junior member
39 7
December 10th update: The strongest stocks in the S&P500
500.jpg

See below one of the strongest stocks shown in the above diagram:
501.jpg
 

tatrader

Junior member
39 7
December 11th update: The Relative Strength of the 11 US Sector ETFs
We can invest directly in the strongest Sectors.

Alternatively, we can choose stocks from the Sectors that show long-term and/or short-term strength.

Research shows that 80% of the profits come from the 20% of the strongest securities.
SEC.jpg


SECA.jpg
 

tatrader

Junior member
39 7
December 11th update: The strongest Index ETFs

WOR.jpg

See below one of the strongest Index ETFs taken from the above diagram

WORA.jpg
 

tatrader

Junior member
39 7
December 12th update: The strongest stocks in the S&P500

500.jpg

See below one of the strongest stocks taken from the above diagram
501.jpg

 

tatrader

Junior member
39 7
A comparison between SPYV - Value - and SPYG - Growth.
Let's see the SPYV & SPYG charts first:
SPYV.jpg


SPYG.jpg


We notice that, since early November, the Relative Strength of SPYV is going up and that of SPYG is going down. This is normally a bearish sign, as investors move to the more conservative Value stocks.

That being said, however, we also see that in the last two sessions SPYG is bullish and SPYV bearish.

So, it'll be interesting to see if the reversal to more aggressive Growth stocks will continue or we will return to the more defensive Value stocks.
 

tatrader

Junior member
39 7
December 15th update: The strongest stocks in the S&P400
400.jpg

See below one of the strongest stocks taken from the above diagram

401.jpg


 

tatrader

Junior member
39 7
December 15th update: The strongest Index ETFs

WOR.jpg

See below one of the strongest Index ETFs taken from the above diagram
WORA.jpg
 

tatrader

Junior member
39 7
December 22nd update: The strongest stocks in the S&P500

500.jpg


See below one of the strongest stocks taken from the above diagram

550.jpg
 

tatrader

Junior member
39 7
December 23rd update: The strongest stocks in the S&P500
500.jpg

We calculate the long- and short-term strength using a combination of appropriate momentum readings.

It’s a simple and objective way to choose strong stocks and profit from their strength.

You can use either the long-term or the short-term strength, or a combination of them that suits your strategy and time horizon.

See below one of the strongest stocks from the above diagram

550.jpg
 

Attachments

  • 100.jpg
    100.jpg
    106.4 KB · Views: 25
 
AdBlock Detected

We get it, advertisements are annoying!

But it's thanks to our sponsors that access to Trade2Win remains free for all. By viewing our ads you help us pay our bills, so please support the site and disable your AdBlocker.

I've Disabled AdBlock