Charts & technicals
Relative strength
How one security has performed compared with another or with an index.
How it works
Plotting the ratio of a holding to its index shows whether it is leading or lagging, independently of the overall market direction.
It is distinct from the relative strength index, which measures a single security against its own recent history.
Related terms
- MomentumThe tendency of recent winners to keep outperforming, and losers to keep underperforming, over months.
- BenchmarkThe index or reference portfolio you measure yourself against, to see whether your decisions added anything.
- Relative strength indexAn oscillator from 0 to 100 measuring how one-sided recent price moves have been.
More in Charts & technicals
- OHLC
- Support and resistance
- Moving average
- Technical analysis
- Trend
- MACD
- Bear market
- Golden cross and death cross
All 13 Charts & technicals terms · The full glossary, 433 terms
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