Stage Analysis Video Training Course

US Stocks Industry Groups Relative Strength Rankings

The full post is available to view by members only. For immediate access:

US Industry Groups by Highest RS Score

Above is the top 12 industry groups thumbnail charts by Relative Strength (RS) score, of which there was clear Change of Behaviour this week in the leading Coal and Oil Groups with moves ranging from -13% to -20%, and all closing strongly below their 50 day MAs for multiple days at least, and significant reversal bars on the weekly charts in the oil groups back towards their 30 week MAs. 

So a potential sign of early Stage 3 behaviour unless they can quickly recover to new highs again. So I'd give the Oil groups a Stage 2B- rating for now, but with the potential Buying Climax (BC) and Automatic Reaction (AR) developing, we could be moving into Phase A of the Stage 3 structure. Which would mean that there are no longer any Stage 2 sectors, as Energy was the only remaining sector in Stage 2.

US Industry Groups by Weakest RS Score

Of the weakest RS groups. Home Construction dropped into the bottom zone of the RS table with a Stage 4 continuation breakdown, and Real Estate Holding & Development had a liquidation type selling with strong weekly decline to move to the bottom of the RS table in deep Stage 4, and has moved a long way in the last 3 months, as it's dropped 76 in the RS rankings.

104 Dow Jones Industry Groups sorted by Relative Strength

The purpose of the Relative Strength (RS) tables is to track the short, medium and long term RS changes of the individual groups to find the new leadership earlier than the crowd.

RS Score of 100 is the strongest, and 0 is the weakest.

In the Stage Analysis method we are looking to focus on the strongest groups, as what is strong, tends to stay strong for a long time. But we also want to find the improving / up and coming groups that are starting to rise up strongly through the RS table from the lower zone, in order to find the future leading stocks before they breakout from a Stage 1 base and move into a Stage 2 advancing phase.

Each week I go through the most interesting groups on the move in more detail during the Stage Analysis Members weekend videoas Industry Group analysis is a key part of Stan Weinstein's Stage Analysis method.

Become a Stage Analysis Member: 

To see more like this and other premium content, such as the regular US Stocks watchlist, detailed videos and intraday posts, become a Stage Analysis member.

Join Today

Disclaimer: For educational purpose only. Not investment advice. Seek professional advice from a financial advisor before making any investing decisions.