Guide

How to read an RRG chart

How to read an RRG chart: the horizontal axis is strength versus the benchmark, the vertical axis is speed, and the crosshair is 100 and 0.

Start at the crosshair, not at the brightest dot. On this RRG chart the vertical line is strength 100, the benchmark. The horizontal line is speed 0. Everything else is a distance from those two lines.

Right of the vertical line, the series has been stronger than the benchmark over the lookback. Left, it has been weaker. Above the horizontal line, relative strength is speeding up. Below, it is slowing down. The four boxes those lines create are leading, weakening, lagging, and improving.

Color follows the latest point, and it can change along the tail. A green segment ended in leading. A blue segment ended in improving. If the tail is long and folded, the series has changed its mind inside the window. If the tail is a short straight run, the latest push is new.

The list on the right is the same reading in words. It is sorted so the strongest leaders are at the top of Leading, and the weakest laggards are at the top of Lagging. The number beside each name is strength, not a price target.

The sentence above the chart names one series: the strongest leader if any series is leading, otherwise the fastest improver. It is a headline for the week on screen, and it changes when you move the slider.

Weekly data is the default. The line under the headline reads in the form "Weekly data, NIFTY 50 benchmark strength is 100" so the benchmark and the bar size are always visible. Switch the bar size in Tune if you want daily or monthly data. The axes mean the same thing. Only the bar changes.