relative strength investment & finance definition
In
technical analysis, the price performance of a stock compared with a market
index. Often this relationship is illuminated using a relative strength index.
See relative strength in Wall Street Words
The price strength of an individual stock compared with the strength of an industry index or a general market index. In general, a stock that acts stronger than its industry or the market as a whole shows a bullish sign for that stock. Likewise, an industry index that acts stronger than a market index is bullish for stock in that industry. Relative strength is typically used when calculating an index of a stock's price to its industry or market index over a period of time. Also called strength.
