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As at February 20th, 2012 The relative strength comparison (RSC) takes the progression in price of one instrument and compares it to another. If a share displays a positive relative strength in comparison to the All Ordinaries Index, this is a bullish sign. This share would have, in effect, been outperforming the index. This section of the website now reports on the new Globally Standardised Industry Classifications (GICS). These sector classifications have recently been phased in as a Standard and Poor's initiative to standardise industry classifications on a world-wide basis. These classifications are now the predominant way to observe the Relative Strength of each sector or Index. The ultimate aim is to take long positions in shares that have been outperforming their sector, in sectors that have been outperforming the All Ordinaries Index. I prefer to take short positions in shares that have been underperforming their sector, in sectors that have been underperforming the All Ordinaries Index. This analysis was performed using GPS software which is a Share Wealth Systems product. For information about the shares included in each sector or Index, refer to http://www.asx.com.au/products/indices/gics.htm. Based on this analysis, here are the current Hot and Cold Sectors:
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