
In the Optionable Universe, this week we saw 22 relative strength buy signals compared to 18 last week. On the sell side, there were 7 relative strength sell signals compared to 10 last week.
Relative Strength Changes for the Week
Relative strength is a measure of how a stock is performing when compared to something else, in this case the S&P 500 Equal Weighted Index (SPXEWI). Each day the stock's closing price is divided by that of the SPXEWI, the resulting numbers decimal is moved two places and then plotted on a Point & Figure chart. Whenever the relative strength chart shows a double top buy signal (e.g. RS Buy or Positive Relative Strength), it suggests the stock is likely to outperform the market for the foreseeable future. Conversely, whenever the relative strength chart gives a double bottom sell signal (e.g. RS Sell or Negative Relative Strength) it suggests the stock will under-perform the market. Relative strength signals tend to last roughly 18 to 24 months on average. Consequently, changes from buy signals to sell signals (and vice versa) are important to be aware of as they are longer-term implications of a stock's likely performance versus the indices. Using the Point & Figure chart along with the relative strength chart will allow you to better ascertain risk-reward and other trade management tools, but we always want to over-weight our portfolios toward those stocks that are on RS buy signals, giving us the best chance of outperforming the broader market.
In the Optionable Universe, this week we saw 22 relative strength buy signals compared to 18 last week. On the sell side, there were 7 relative strength sell signals compared to 10 last week.
Stocks Moving to an RS Buy Signal
Symbol | Company | Sector | Price | RS vs Market Signal | RS vs Market Column | RS vs Peer Signal | RS vs Peer Column | Trend |
---|---|---|---|---|---|---|---|---|
FTR | Frontier Communications Corporation | Fixed Line Communications | 9.780 | Buy | X | Buy | X | 4 ![]() |
DGII | Digi International Inc | Communications Technology | 12.300 | Buy | X | Sell | X | 3 ![]() |
ITGR | Greatbatch Technologies, Inc. | Industrial Goods & Svcs | 65.550 | Buy | X | Buy | X | 5 ![]() |
GHL | Greenhill & Co. | Financial Services | 25.450 | Buy | X | Sell | X | 4 ![]() |
HZO | Marinemax | Retail | 23.300 | Buy | X | Sell | X | 4 ![]() |
AVAV | Aerovironment, Inc. | Industrial Goods & Svcs | 60.970 | Buy | X | Buy | X | 5 ![]() |
GTS | Triple-S Management Corporation | Insurance | 30.560 | Buy | X | Sell | X | 4 ![]() |
CATM | Cardtronics PLC | Financial Services | 30.290 | Buy | X | Buy | X | 4 ![]() |
KFRC | Kforce.Com | Industrial Goods & Svcs | 33.100 | Buy | X | Buy | X | 5 ![]() |
XCRA | Xcerra Corp. | Semiconductors | 13.240 | Buy | X | Buy | X | 5 ![]() |
MRO | Marathon Oil Corporation | Oil Companies Major | 20.440 | Buy | X | Buy | X | 5 ![]() |
FOXA | Twenty-First Century Fox Inc. | Media | 37.990 | Buy | X | Buy | X | 5 ![]() |
OAS | Oasis Petroleum Inc. | Oil Companies Major | 11.540 | Buy | X | Sell | X | 3 ![]() |
NGVC | Natural Grocers by Vitamin Cottage Inc | Food and Beverage | 9.580 | Buy | X | Buy | X | 4 ![]() |
SNP | China Petroleum and Chemical Corporation (China) ADR | Oil Companies Major | 98.160 | Buy | X | Buy | X | 5 ![]() |
ZBRA | Zebra Technologies Corp | Industrial Goods & Svcs | 153.240 | Buy | X | Buy | X | 5 ![]() |
SSW | Seaspan Corp. | Industrial Goods & Svcs | 8.780 | Buy | X | Buy | X | 4 ![]() |
CHRS | Coherus Biosciences Inc | Biotechnology | 15.250 | Buy | X | Buy | X | 5 ![]() |
GWPH | GW Pharmaceuticals PLC (United Kingdom) ADR | Pharmaceuticals | 144.560 | Buy | X | Buy | X | 5 ![]() |
DNOW | NOW Inc. | Oil Companies Major | 14.270 | Buy | X | Sell | X | 4 ![]() |
SHAK | Shake Shack Inc | Cyclical Goods and Services | 59.360 | Buy | X | Buy | X | 5 ![]() |
GKOS | Glaukos Corp. | Medical Products | 35.690 | Buy | X | Buy | X | 5 ![]() |
Stocks Moving to a RS Sell Signal
Symbol | Company | Sector | Price | RS vs Market Signal | RS vs Market Column | RS vs Peer Signal | RS vs Peer Column | Trend |
---|---|---|---|---|---|---|---|---|
CRESY | Cresud S.A.C.I.F.y A. (Argentina) ADR | Food and Beverage | 16.470 | Sell | O | Buy | O | 1 ![]() |
LCII | LCI Industries | Construction | 89.650 | Sell | O | Sell | O | 0 ![]() |
PZE | Petrobras Energia S.A. (Argentina) ADR | Oil Companies Secondary | 9.620 | Sell | O | Sell | O | 1 ![]() |
PPC | Pilgrim's Pride Corporation | Food and Beverage | 21.160 | Sell | O | Buy | O | 2 ![]() |
ESPR | Esperion Therapeutics Inc | Biotechnology | 40.490 | Sell | O | Sell | O | 0 ![]() |
ATUS | Altice USA, Inc. Class A | Media | 16.430 | Sell | O | N/A | O | 0 ![]() |
AMRX | Amneal Pharmaceuticals Inc Class A | Pharmaceuticals | 14.710 | Sell | O | Sell | O | 0 ![]() |