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

Each Monday, Stockhead recaps the stocks that are running hot with investors.

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

Here’s a summary of the stocks that were running hot for the two weeks ended Friday, October 23:

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

WordPress Table
 

Ambertech Limited (ASX:AMO), which makes equipment used in production support for the film/tv broadcast and audio industries, shot to the top of this week’s list after a big surge on Friday.

The +100pc gain followed a profit guidance update, where the company forecast revenues in the range between $34-$38m for the six months ended December 31.

Reflecting the current strength of the IPO market, recent ASX debutante Aussie Broadband (ASX:ABB) also made an appearance at the pointy end of the Running Hot list after ripping higher when it hit the ASX boards on October 16.

And for the first time in Hot Money Monday history, ASX competitor the NSX (ASX:NSX) chalked up a two-week RSI above 70 following its big jump on Wednesday after the release of quarterly cash flow data.

Running Cold

Here’s a summary of the stocks that were running hold for the two weeks ended Friday, October 23:

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

WordPress Table

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