Today was a great example of relative strength in action, and I want to walk through exactly what I was seeing in real time. Above is a 3-minute chart of MRNA, and in the lower pane I have the SPY plotted for comparison. This side by side view makes it very easy to spot when a stock is behaving differently from the broader market, and today MRNA stood out immediately.
From point A to point B on the SPY, the market was declining rapidly. Selling pressure was clearly in control, and by the time SPY reached point B it was meaningfully lower than it was at point A. This is the type of environment where most stocks struggle to hold their ground, let alone move higher. However, when you shift your focus back to MRNA, you see a completely different story unfolding.
Instead of breaking down with the market, MRNA actually rallied from point A. By the time it reached point B, price was well above where it started, which is a textbook example of significant relative strength. Buyers were clearly in control, absorbing any selling pressure and continuing to push price higher despite the weakness in the broader market. This type of behavior always gets my attention because it tells me institutions are likely accumulating shares.
Once minor intraday resistance was taken out, MRNA did exactly what strong stocks tend to do. It expanded higher and trended all the way into the close, finishing the day at its highs. When a stock can close at or near the high of the day while the market has been under pressure, that’s a powerful statement of strength.
Zooming out to the weekly chart on the right adds even more context. MRNA has put in a clear triple bottom and is now breaking out of a roughly 10-month trading range. When strong intraday relative strength aligns with a bullish higher-timeframe setup, it often leads to sustained follow through. Based on this structure, I expect higher prices for MRNA in the weeks ahead.
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