Relative Strength and Performance

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Over the very long term, covering multiple decades and including several major bull/bear cycles, no stock selection strategy beats Relative Strength (RS - Annual Report). This strategy is easy to understand: Buy and hold only the strongest stocks. When a stock slips enough so that it is no longer among the strongest, sell it and replace with whatever is the new strongest.

Source:  Applying the Relative Strength strategy to ETFs - MarketWatch

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