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Price Relative Strength New High Before Price High

Hi guys and gals, I am looking for a way to scan for Price Relative / Relative Strength making a new high before the actual price of the stock. I.E. I want the XYZ:$SPX ratio for example to make a new high before the actual price of GOOGL. According to Bill Oneill this is a often a HUGE tipoff if a stocks price relative line makes a new high first. This can lead to massive gains in the days and weeks after this occurs. I am not sure how I could scan for a price ratio new high though. Is this possible?

Comments

  • markdmarkd ✭✭✭
    Unfortunately, you cannot scan for price relative or price performance at all.

    You could play around with ROC( ) to see if it does something similar.

    For instance, include a $SPX chart (or other index) in you list of stocks. Run a scan against the list with this statement:

    [favorites list is 29]

    rank by ROC(21)

    To get the favorites list in the scan, you must select it from the "Chart List" drop down under the scan window. For some reason, even if you type it in correctly, it doesn't work

    This rank by statement must be the last statement in the scan.

    You can vary the 21 parameter to see what works better. Maybe 63.

    Then save the results to a list using the "Preserve sort order" option.

    If you look at the list in "summary" mode, those stocks that appear above $SPX are doing better than $SPX for the length of the ROC look back period.

    The Price Performance indicator (symbol:$SPX) should be rising for those stocks. But you would have to "eyeball" the chart to see if it is a "new high" for RS.
  • markd! thank you. i will give this a try and see if the results are interesting. i believe the limit for a list is 500?
  • markdmarkd ✭✭✭
    Yes, but you can build separate lists for the kinds of stocks you like - say mid caps in the cyclicals sector, small caps in biotech, or whatever. That will keep you under 500 per list, You just have to run the scan against each list, then save the results to a watch list(s).
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