The chart below measures the percentage of high relative strength stocks that are trading above their 50-day moving average (universe of mid and large cap stocks.) As of 8/3/10.
Once again we have seen a deeply oversold measure of this indicator lead to a strong rebound in high relative strength stocks. This indicator fell to the 10% range several times in the May to June period, but has since surged higher. The 10-day moving average of this indicator is 74% and the one-day reading is 80%.
