The RS (Relative Strength) concept
"Relative Strength" or RS is a widely used concept in technical analysis to compare the price performance of one security against the price performance of another security in order to choose which one of the two is to prefer over the other.
Construction of Relative Rotation Graphs
The construction of Relative Rotation Graphs is based on a scatter plot. The video at the end of the post shows the rotation through the various stages on the plot, with a short explanation for every stage.
Relative Rotation Graphs can be used to visualize the relative movement of much more than just stocks and sectors. In the example below, the RRG shows
First of all, let me say that I really appreciate any feedback and comments I get on any of my articles, either via DISQUS below each blog post, via e
The Relative Rotation Graph for US sectors shows the sector Real Estate (XLRE) inside the weakening quadrant but moving upward, almost vertically, on
One of the Relative Rotation Graphs that I like to follow, as a way of keeping a handle on the bigger picture, is the one that shows the rotation of g
The chart above shows the relative rotation for US sectors against the benchmark S&P 500. Over the last five weeks, the tails for Consumer Staples (XL
It seems I did not have to look very far to find today's DITC entry... The S&P 500 ($SPX) provides enough ammunition to get excited - or maybe worried
Looking at the Relative Rotation Graph showing the sectors of the S&P 500, we can see that the tail on the Financials sector stands out, having seen a
Yesterday I wrote about the relationship of US stocks against other international stock markets in my regular RRG-Blog. The Relative Rotation Graph th
Stock markets around the world are showing mixed pictures. Returns over the last 5 weeks vary from +4% in Australia to -10% in China. The Relative Rot
Browsing some Relative Rotation Graphs, the relationship between Stocks and Bonds, once again, drew my attention. When I shifted to their respective c
