by AdamHGrimes | Jan 15, 2019 | Fundamental analysis, Institutional Managers/Traders, Relative Strength, Spreads
Understanding stock markets can be difficult. Which index should we look at? There are many ways to slice stocks: by market cap, by proprietary index methodology, by geography, by valuation, by sector, by industry, by looking at individual stocks… the choices...
by AdamHGrimes | Oct 12, 2014 | Relative Strength
The chart above shows the 12 month return (vertical axis) against the shorter-term momentum (horizontal), for the major sectors of the S&P 1500. We can clearly see that the only two sectors showing any remaining positive momentum are the defensive Utilities and...
by AdamHGrimes | Aug 24, 2014 | Chart of the Day, Relative Strength
[dc]R[/dc]elative strength is an important trading concept, and there are a lot of ways to define, monitor, and trade these relationships. Looking at the sector relative strength within the US stock market gives a deeper understanding of money flows and psychological...
by AdamHGrimes | Aug 14, 2014 | General Comments, Readers Questions, Relative Strength
Trader-Socrates asks, in response to this post of relative strength leaders: What kind of RS do you use? What timeframe you mean by “short-term” RS? I am sure, that you know, that research shows, that short-term (up to several month) is mean reverting....
by AdamHGrimes | Aug 14, 2014 | Relative Strength
[dc]O[/dc]ne of the very real problems stock traders face is knowing where to focus their attention. Some traders are restricted to certain sectors or sets of stocks, but, even then, quantitative screens can be a useful first step. For traders who have access to the...
by AdamHGrimes | Jul 27, 2014 | Relative Strength
[dc]L[/dc]ast week I shared a new data visualization that looked at short and long term performance of sectors in context of volatility. This week, I’d like to share another tool that we use in our analysis for my Waverly Advisors weekly research reports. For...
