Relative strength

Relative strength is a ratio of a stock price performance to a market average (index) performance.^[1] It is used in technical analysis.

It is not to be confused with relative strength index.

To calculate the relative strength of a particular stock, divide the percentage change over some time period by the percentage change of a particular index over the same time period. ^[2]

References

Technical analysis

Concepts

Charts

Patterns

Chart

Candlestick

Simple	Doji Hammer Hanging man Inverted hammer Marubozu Shooting star Spinning top

Complex	Hikkake pattern Morning star Three Black Crows Three white soldiers

Indicators

Support & resistance	Bottom Fibonacci retracement Pivot point (PP) Top

Trend	Average directional index (A.D.X.) Commodity channel index (CCI) Detrended price oscillator (DPO) Know sure thing oscillator (KST) Ichimoku Kinkō Hyō Moving average convergence/divergence (MACD) Mass index Moving average (MA) Parabolic SAR (SAR) Smart money index (SMI) Trend line Trix Vortex Indicator (VI)

Momentum	Money flow index (MFI) Relative strength index (RSI) Stochastic oscillator True strength index (TSI) Ultimate oscillator Williams %R (%R)

Volume	Accumulation/distribution line Ease of movement (EMV) Force index (FI) Negative volume index (NVI) On-balance volume (OBV) Put/call ratio (PCR) Volume–price trend (VPT)

Volatility	Average true range (ATR) Bollinger Bands (BB) Donchian channel Keltner channel CBOE Market Volatility Index (VIX) Standard deviation (σ)

Breadth	Advance–decline line (ADL) Arms index (TRIN) McClellan oscillator

Other	Coppock curve Ulcer index

Financial markets

Types of markets	Primary market Secondary market Third market Fourth market

Types of stocks	Common stock Golden share Preferred stock Restricted stock Tracking stock

Share capital	Authorised capital Issued shares Shares outstanding Treasury stock

Participants	Broker-dealer Day trader Floor broker Floor trader Investor Market maker Proprietary trader Quantitative analyst Regulator Stock trader

Exchanges	Electronic communication network List of stock exchanges Opening times Multilateral trading facility Over-the-counter

Stock valuation	Alpha Arbitrage pricing theory Beta Bid–ask spread Book value Capital asset pricing model Dividend discount model Dividend yield Earnings per share Earnings yield Net asset value Security characteristic line Security market line T-model

Trading theories and strategies	Algorithmic trading Buy and hold Concentrated stock Contrarian investing Day trading Dollar cost averaging Efficient-market hypothesis Fundamental analysis Growth stock Market timing Modern portfolio theory Momentum investing Mosaic theory Pairs trade Post-modern portfolio theory Random walk hypothesis Sector rotation Style investing Swing trading Technical analysis Trend following Value investing

Related terms	Block trade Cross listing Dark liquidity Dividend Dual-listed company DuPont analysis Efficient frontier Flight-to-quality Haircut Initial public offering Margin Market anomaly Market capitalization Market depth Market manipulation Market trend Mean reversion Momentum Open outcry Public float Public offering Rally Returns-based style analysis Reverse stock split Share repurchase Short selling Slippage Speculation Stock dilution Stock market index Stock split Trade Uptick rule Volatility Voting interest Yield

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