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.
Running Hot
Stocks were treading water amid the volatility last week, but the Running Hot list (Bear Market Edition) remains particularly short by historical standards.
The local index posted three straight days of gains as markets assessed the impact of huge government stimulus measures, particularly in the US.
Both of those increases were book-ended by two sharp falls, as the ASX tanked hard into the close on Friday afternoon after starting the day in positive territory.
Amid all of that, we picked up a total of nine stocks with a two-week RSI measure above 60 (instead of the usual 70) — down from 11 last week.
Here’s a summary of the stocks that were running hot for the two weeks ended Friday, March 27:
Scroll or swipe to reveal table. Click headings to sort.
Code | Name | Price | 2 Week RSI | Market Cap ($) |
---|---|---|---|---|
CTE | CRYOSITE LTD | 0.07 | 74.8 | 3.37M |
CHN | CHALICE GOLD MINES LTD | 0.5 | 71.45 | 137.03M |
LSH | LIFESPOT HEALTH LTD | 0.06 | 71.07 | 5.44M |
MMM | MARLEY SPOON AG-CDI | 0.57 | 68.44 | 90.36M |
CRM | CARBON MINERALS LTD | 0.25 | 67.82 | 4.79M |
MNF | MNF GROUP LTD | 4.69 | 66.63 | 395.12M |
KAS | KASBAH RESOURCES LTD | 0.02 | 64.22 | 2.71M |
HMD | HERAMED LTD | 0.14 | 63.48 | 15.04M |
PCL | PANCONTINENTAL OIL & GAS NL | 0 | 61.15 | 10.81M |
Running Cold
The government-stimulus rally helped bring this week’s Running Cold list out of the doldrums (well, at least slightly).
Lastly, we only included stocks with an RSI below 15 — a move required to get the number of companies on the list below 100 (there were 99).
This week we included companies with an RSI below 20 (still below the standard measure of 30). A total of 62 companies remained ice cold, as investors brace for more volatility in the weeks ahead.
Here’s a summary of the stocks that were running cold for the two weeks ended Friday, March 27:
Scroll or swipe to reveal table. Click headings to sort.
Code Name Price ($) 2 Week RSI Market Cap APH AUSTRALIAN PRIMARY HEMP LTD 0.05 19.96 3.55M PSQ PACIFIC SMILES GROUP LTD 0.79 19.75 120.07M CD1 CORDISH DIXON PRIVATE EQUITY 0.9 19.73 35.11M MTO MOTORCYCLE HOLDINGS LTD 0.63 19.72 39.18M AGI AINSWORTH GAME TECHNOLOGY 0.37 19.64 122.93M HRR HERON RESOURCES LTD 0.02 19.31 8.57M VR8 VANADIUM RESOURCES LTD 0.01 19.15 3.37M A2B A2B AUSTRALIA LTD 0.66 19.13 79.48M TGA THORN GROUP LTD 0.05 18.86 14.83M TBL TAMBLA LTD 0.12 18.83 2.38M A1M AIC MINES LTD 0.23 18.77 11.96M IMR IMRICOR MEDICAL SYSTEMS-CDI 0.79 18.63 82.77M BLY BOART LONGYEAR LTD 0.49 18.48 42.56M ALG ARDENT LEISURE GROUP LTD 0.15 18.43 71.96M E2E EON NRG LTD 0 18.3 769.89k PPE PEOPLE INFRASTRUCTURE LTD 1.09 18.13 80.03M IGL IVE GROUP LTD 0.42 17.99 62.25M WAA WAM ACTIVE LTD 0.76 17.98 24.78M RGI ROTO-GRO INTERNATIONAL LTD 0.04 17.97 6.41M MXR MAXIMUS RESOURCES LTD 0.03 17.97 1.09M ELO ELMO SOFTWARE LTD 4.07 17.78 306.18M CPT CIPHERPOINT LTD 0.02 17.69 824.89k BYI BEYOND INTERNATIONAL LTD 0.5 17.64 30.67M CG1 CARBONXT GROUP LTD 0.15 17.63 16.05M MYR MYER HOLDINGS LTD 0.1 17.57 86.23M PCG PENGANA CAPITAL GROUP LTD 0.82 17.42 84.56M SGI STEALTH GLOBAL HOLDINGS LTD 0.05 17.1 4.75M DAF DISCOVERY AFRICA LTD 0.01 16.92 1.09M OZG OZGROWTH LTD 0.11 16.64 39.10M JAY JAYRIDE GROUP LTD 0.07 16.58 7.08M RDH REDHILL EDUCATION LTD 0.8 16.54 24.65M SHO SPORTSHERO LTD 0.01 16.52 1.97M REX REGIONAL EXPRESS HOLDINGS 0.4 16.5 44.06M SFM SANTA FE MINERALS LTD 0.05 16.5 3.71M IXU IXUP LTD 0.03 16.47 6.68M CVC CVC LTD 1.07 16.12 124.99M CRO CIRRALTO LTD 0 16.04 1.65M KNO KNOSYS LTD 0.03 15.77 4.02M ERF ELANOR RETAIL PROPERTY FUND 0.83 15.74 106.85M DTM DART MINING NL 0.04 15.57 2.24M JXT JAXSTA LTD 0.02 15.12 4.70M NCK NICK SCALI LTD 3.25 15.1 263.25M PFP PROPEL FUNERAL PARTNERS LTD 2.2 14.14 217.22M HLO HELLOWORLD TRAVEL LTD 0.93 14.03 115.99M EUR EUROPEAN LITHIUM LTD 0.04 13.96 22.22M PGL PROSPA GROUP LTD 0.5 13.86 80.68M MOZ MOSAIC BRANDS LTD 0.26 13.74 25.17M ASG AUTOSPORTS GROUP LTD 0.67 13.37 133.67M DGH DESANE GROUP HOLDINGS LTD 1.1 12.98 45.00M SPQ SUPERIOR RESOURCES LTD 0 12.32 1.49M MVF MONASH IVF GROUP LTD 0.42 12.2 99.03M SXL SOUTHERN CROSS MEDIA GROUP 0.17 12.15 126.89M LME LIMEADE INC-CDI 1.4 11.81 342.72M SST STEAMSHIPS TRADING COMPANY 10 11.79 310.08M WPP WPP AUNZ LTD 0.27 10.86 230.08M VRT VIRTUS HEALTH LTD 1.78 10.82 143.49M SOM SOMNOMED LTD 1.25 10.64 107.83M PNC PIONEER CREDIT LTD 0.37 10.32 23.46M ENN ELANOR INVESTOR GROUP 0.79 10.18 92.81M KAT KATANA CAPITAL LTD 0.57 10.05 24.32M KSM K2 AUS SMALL CAP FUND 1.35 9.51 9.36M OML OOH!MEDIA LTD 0.68 8.15 166.03M
Media & advertising company oOh!media (ASX:OML) propped up the list with a reading of just 8.15.
However, amid the market chaos oOh!media still managed to complete a $156m share placement to institutional investors, with plans to pay down debt and refocus on costs.
Shares in the company came out of a trading halt on Friday and fell by around 30 per cent to 60.5c, down from a 2020 high above $3 in mid-January.