Relative strength vs market indicator 🎯 main goal: To visually detect when a stock shows relative strength against the S&P 500, especially on down days in the market. The indicator helps identify stocks that:
Go up while the SP500 goes down
Fall less than the SP500
🟩 solid green bar (upward) Condition: SP500 closes negative, your stock closes positive.
Color: solid green
Meaning: strong relative strength. The stock goes up while the market drops.
Example:
SP500: -1.2%
Stock: +1.5%
Difference: +2.7% → green bar going up
🟧 light orange bar (upward) Condition: SP500 closes negative, your stock also drops, but less than the SP500.
Color: light orange
Meaning: resilience. Still a down day, but the stock shows relative strength.
Example:
SP500: -2.0%
Stock: -0.5%
Difference: +1.5% → light orange bar going up
🟥 red bar (downward) Condition: SP500 closes negative, your stock drops more than the index.
Color: solid red
Meaning: clear weakness. The stock is underperforming in a weak market.
Example:
SP500: -0.8% Stock: -2.0% Difference: -1.2% → red bar going down
🟩 light green bar (upward) Condition: SP500 closes positive, your stock outperforms the index (goes up more).
Color: light green (50% opacity) Meaning: relative strength in a strong market. Not as critical, but still positive. Example: SP500: +0.5% Stock: +1.5% Difference: +1.0% → light green bar going up
🟩 light green bar (downward) Condition: SP500 closes positive, but your stock underperforms (gains less or even drops).
Color: light green (50% opacity)
Meaning: underperformance on a strong day. The stock lags the index.
Example 1:
SP500: +1.8% Stock: +0.5% Difference: -1.3% → light green bar going down Example 2: SP500: +1.0% Stock: -0.5% Difference: -1.5% → light green bar going down
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