Correlation calculator
How closely two markets move together.
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Relative strength calculator
Is your market beating the benchmark, and is the lead growing or fading? The relative strength line, its phase and what it means for the trade.
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- Free
- No sign-up
- Nothing you type is stored
The two markets
The leader
Over the last 20 bars your market beat the benchmark: +6.98% against +6.00%, so the relative line rose 0.93%. The phase is weakening: it has beaten the benchmark, but the lead has started to shrink.
- What it means for the trade
- The lead is real but fading. Many traders wait for the line to turn up again, or above its average, before adding.
- The relative line
- It stands at 95.52 (100 at the first bar), above its 20-bar average of 95.46, and moved -0.24% over the last 5 bars.
- All the bars
- From the first close to the last your market moved +6.88% and the benchmark +11.89%; the line ran from 94.57 to 100.00.
- Read it with care
- Relative strength says which market did better, not whether either will rise: a market can lead while both fall. Leadership changes, often at turning points.
Your market's close, the benchmark's close and the relative strength line on the last bars. The last bar is marked.
| Bar | Your market | Benchmark | Relative line |
|---|---|---|---|
| 7 ago | 2,391.50 | 5,449.85 | 95.97 |
| 6 ago | 2,380.50 | 5,443.51 | 95.64 |
| 5 ago | 2,399.10 | 5,479.48 | 95.75 |
| 4 ago | 2,412.50 | 5,509.45 | 95.76 |
| 3 ago | 2,430.80 | 5,546.51 | 95.84 |
| 2 ago | 2,427.40 | 5,553.38 | 95.59 |
| 1 ago | 2,432.40 | 5,570.56 | 95.49 |
| Last | 2,443.60 | 5,594.41 | 95.52 |
Education only, not investment advice. The answer comes from the numbers you typed in, not from your account or the market. Simulated results are hypothetical and have limits: real trading has slippage, gaps, changing results and emotions. Trading leveraged products can lose money quickly, including all of it. Risk warning
Educational only, not financial advice; trading involves risk.
Trade the stronger horse
The relative strength line divides one market by another, both set to 100 at the first bar. It rises when your market does better than the benchmark and falls when it does worse, whichever way the two are going. Fund managers use it to pick the leaders in a sector; traders use it to choose between gold and silver, a share and its index, or one currency and the dollar.
This is not the RSI, which compares a market's rises with its own falls: for that, use the RSI calculator. See how closely the two move with the correlation calculator, trade the gap between them with the pair trading calculator, and size the trade with the position size calculator.
Not advice. Arithmetic on the closes you type; a market that led in the past bars may not lead in the next.
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Baroq never holds your money and never trades for you. Educational only, not financial advice; trading involves risk.