Relative Strength Spread

The chart below is the spread between the relative strength leaders and relative strength laggards (universe of mid and large cap stocks). When the chart is rising, relative strength leaders are performing better than relative strength laggards. As of 11/4/2013:

spread 11.05.13 Relative Strength Spread

Since June of this year, the RS Spread has generally been trending higher—a potentially positive sign for relative strength strategies.

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