RRG Charts

November 2016

RRG Charts

Financials are leading but they are not all equally good

by Julius de Kempenaer

After the dust has settled, it is time to assess what is going on under the hood. The above Relative Rotation Graph holds the 30 Dow Jones Industrials components. As usual, they are fairly evenly spread out over the canvas of the RRG plot.  From the RRG of the US sector ETFs (further down in this post), it is very clear that the Financial sector is leading at the moment. In this post, I want to dissect some of the individual financial components inside the Dow Jones Industrials index. Spoiler alert: They are not all equally good . Read More 

RRG Charts

How to use Relative Rotation Graphs to monitor your portfolio.

by Julius de Kempenaer

As (many of) you may know my fellow commentator Arthur Hill lives in Belgium. That makes him, geographically, my closest StockCharts.com colleague. On Tuesday 8 November, indeed election day, the Amsterdam chapter of the MTA (Market Technicians Association) had Katie Stockton of BTIG over as a guest speaker for a breakfast presentation. Katie is a highly respected technical analyst among institutional investors and an early adapter of Relative Rotation Graphs which are now fully embedded in her workflow. Arthur made the trip over to Amsterdam to attend the Read More 

RRG Charts

Bond market charts look horrible but they show positive rotation on RRG

by Julius de Kempenaer

The Relative Rotation Graph above shows the rotation of various asset classes against VBINX, a balanced index fund holding 60% in equities and 40% in bonds. The current rotational picture is highlighting a pretty clear rotational picture for various (groups of) asset classes. The most important observation is that all three fixed income related asset classes are showing a positive rotational picture while, at the same time, their price charts are showing horrible technical pictures. So what's the message that we can get from this? Quick Scan Read More