Each week, Stockhead recaps ASX stocks that are “running hot” as deduced by the Relative Strength Index (RSI).

The RSI is 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 are some of the ASX stocks that were running hot for the two weeks ended Friday, January 28:

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Sub-$10m nanocap Intra Energy Corp (ASX:IEC) made an appearance on the Hot Money list, courtesy of a sharp run up for its stock price to end the week.

IEC has benefited from its pivot away from coal, and it paired its existing copper-gold prospects with a shiny new nickel-copper-PGE project via an acquisition near Kalbarri, WA, called ‘Yalgarra’ last Friday.

Yalgarra sits near a number of other more advanced Ni-Cu-PGE projects in the area, and IEC said it plans to explore some of the promising geological formations at the site.

Also running hot this week was nickel-copper-cobalt play Aston Minerals (ASX:ASO), which has been climbing steadily since drilling results on January 19 confirmed strong nickel and cobalt mineralisation at the ‘Boomerang’ target within its Canada-based exploration project.

Chaired by mining luminary Tolga Kumova, ASO told investors to expect another round of drilling results from the project soon.

Running Cold

Here are some of the ASX stocks that were running hot for the two weeks ended Friday, January 28:

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Analytics and intelligence software company Nuix (ASX:NXL) can’t take a trick, and at $1.38 the stock continues to sink further away from its $5.21 IPO price.

Shares in the company lost more ground this month, following a trading update where it flagged materially higher costs in the half year ending 31 December compared to the previous corresponding period.

And ecommerce stock Harris Technology (ASX:HT8) has been running cold, with falls exacerbated last week following the release of its latest 4C filing.

The company’s declining stock price reflects broader challenges in the sector, as a number of ASX ecommerce stocks battle logistical issues while struggling to maintain the booming 2020 growth rates seen in the immediate wake of the pandemic.