Hot Money Monday: The most-in demand stocks on the ASX right now

Each Monday, Stockhead recaps which stocks are most heavily in demand by investors — running hot.

The analysis is based on the Relative Strength Index (RSI), a technical gauge which measures how trading momentum is affecting the price action.

A reading of 70 is seen as the level at which a company may have been overbought. If a stock has a reading of 30 or below, it could be undervalued.

Click here for a more detailed rundown of what the RSI does and how it’s used. While there’s usually a pretty good reason if a given stock is running hot (or cold), investors are also on the lookout for opportunities where the price-action has separated from fundamentals.

Here’s this week’s list:

Running Hot

Here’s a summary of the stocks that were running hot for the two weeks ended Friday, February 14:

There were a total of 45 stocks with a 14-day RSI reading above 70, down from 48 in the week prior. And of those 45, 28 companies were new entrants (stocks highlighted in yellow).

Scroll or swipe to reveal table. Click headings to sort.

The real estate technology company has been on a steady uptrend throughout February, and this week climbed to the top of the Hot Money list for the first time.

Shares in RMA have climbed from 3.8c to a high of 6.6c since January 31, when it reported strong sales momentum out of the US where more than 40,000 US real estate agents have now registered on the RateMyAgent.com platform.

Running Cold

Here’s a summary of the stocks that were running cold for the two weeks ended Friday, February 14:

Things were running extra-cool on the Cold Money list last week, with no less than 70 stocks which had a 14-day RSI reading below 30. That’s well up from the previous week’s total of 49. Of those 71 companies, 46 were new entrants on this week’s list (stocks highlighted in yellow).

Scroll or swipe to reveal table. Click headings to sort.

Splitit Payments (ASX:SPT)

It’s not the first time Splitit has appeared on the Running Cold list, but its appearance is notable given the company operates in the buy now, pay later sector — one of the hottest fintech trends over the last 12-24 months.

Splitit listed in January 2019 at 20c and turned heads when it raced to an all-time high of $2. But the stock has struggled for traction since releasing its Q4 trading update on January 31, which highlighted revenues of $US433,000 ($644,358), down 7 per cent on the previous quarter.