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Market Reading

Relative Strength

Also called: RS, relative strength, showing RS, relative weakness

When a stock or group holds up better than the overall market during broad selling. If growth names are breaking down and TSLA is holding its level that relative strength tells you money is committed to the name. I pay close attention to what's holding up on bad days because those are the names that lead when the market turns back up.

In Context

Space stocks ASTS, RKLB showing relative strength

Level to Manage Risk > Setup·Digest

Names showing RS while market weak: AA, AAOI, CIEN, DELL, GLW, NFLX, STX, NBIS

Level to Manage Risk > Setup·Digest

That relative strength was telling you something and NFLX was the first to gap to new highs and follow through.

Counter Trend or Character Change?·Digest

By the close relative strength names were being sold into and **heavy volume but no price progression on the indexes which looks a lot like churn.

Remember This Week·Digest

Crypto had notable relative strength today which I thought was worth paying attention to because crypto tends to be a decent risk on/risk off indicator.

Fast Flush or Slow Death?·Digest

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