This implementation of the RS Line mimics how Investor's Business Daily and CANSLIM investors measure growth stock performance versus the S&P 500 .
If you are looking at a weekly chart, the RS Line is the performance of the stock over the past week versus the S&P 500 over that same time frame. The same logic applies to the daily and monthly charts, only the time frames are different.
If a stock moves up for the day/week/month and the S&P 500 does not, the RS Line will move up. If a stock ends the day/week/month flat, yet the S&P 500 moves up, the RS Line will go down.
- Look for an upward sloping line.
- The steeper the line, the better.
- Can be used for viewing long-term trend.
✓ Support for any index, defaults to S&P 500 (SPX).
✓ Default plot color now shows on both dark and light modes.
The max vertical offset on where to show the RS Line is now 200. This is necessary to accommodate scaling requirements for some indexes.
If I may ask, would you know how to create a scan on trading view on the RS line, for eg. stocks that went on to make new RS Line highs in mid-March 2020 even above their individual Feb 2020 levels became big winners! Any idea whether that can be done on this platform? In down swings, will be really helpful! Many thanks once again John!