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

Here’s a summary of the stocks that were running hot for the two weeks ended Friday, May 8:

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

Code Name Price 2 Week RSI Market Cap ($)
GTR GTI RESOURCES LTD 0.02 91.07 10.69M
ARS ALT RESOURCES LTD 0.04 90.67 25.51M
GES GENESIS RESOURCES LTD 0.02 82.5 12.53M
DXB DIMERIX LTD 0.27 81.79 47.20M
KRR KING RIVER RESOURCES LTD 0.05 80.79 66.18M
BKY BERKELEY ENERGIA LTD 0.28 79.17 76.29M
AZY ANTIPA MINERALS LTD 0.02 78.78 50.77M
CRM CARBON MINERALS LTD 0.35 77.77 6.58M
SZL SEZZLE INC-CDI 2.19 77.44 371.04M
ELS ELSIGHT LTD 0.41 77.34 43.17M
IPT IMPACT MINERALS LTD 0.01 77.16 23.33M
SCI SILVER CITY MINERALS LTD 0.01 77.07 4.42M
PCK PAINCHEK LTD 0.17 76.13 170.86M
RIM RIMFIRE PACIFIC MINING NL 0.01 75.74 9.81M
RFG RETAIL FOOD GROUP LTD 0.08 75.27 160.97M
PRO PROPHECY INTERNATIONAL HLDGS 0.64 75 40.97M
TMT TECHNOLOGY METALS AUSTRALIA 0.13 73.94 13.90M
GUL GULLEWA LTD 0.06 73.74 9.31M
GSW GETSWIFT LTD 0.86 73.6 162.15M
LOT LOTUS RESOURCES LTD 0.07 73.47 48.34M
TAR TARUGA MINERALS LTD 0.01 73.35 4.87M
CEL CHALLENGER EXPLORATION LTD 0.18 73.34 93.74M
HVM HAPPY VALLEY NUTRITION LTD 0.24 73.32 51.01M
TIE TIETTO MINERALS LTD 0.36 73.25 122.52M
AUT AUTECO MINERALS LTD 0.05 73.15 69.20M
OPY OPENPAY GROUP LTD 1.13 72.94 107.40M
TTB TOTAL BRAIN LTD 0.6 72.9 67.15M
MDR MEDADVISOR LTD 0.58 72.84 142.81M
CY5 CYGNUS GOLD LTD 0.05 72.82 3.75M
ATX AMPLIA THERAPEUTICS LTD 0.1 72.82 6.65M
IXC INVEX THERAPEUTICS LTD 1.4 72.46 75.90M
ZNC ZENITH MINERALS LTD 0.07 72.43 17.52M
14D 1414 DEGREES LTD 0.17 72.23 30.26M
OKR OKAPI RESOURCES LTD 0.14 71.94 4.69M
NCZ NEW CENTURY RESOURCES LTD 0.19 71.89 153.59M
GSS GENETIC SIGNATURES LTD 2.13 71.85 296.61M
PPG PRO-PAC PACKAGING LTD 0.14 71.49 109.50M
FRN FRASER RANGE METALS GROUP LT 0.03 71.48 8.88M
PGM PLATINA RESOURCES LTD 0.02 71.34 6.85M
EPM ECLIPSE METALS LTD 0.01 71.3 10.55M
CHK COHIBA MINERALS LTD 0.01 71.21 6.65M
GIB GIBB RIVER DIAMONDS LTD 0.04 71.19 8.06M
SWF SELFWEALTH LTD 0.22 71.16 43.96M
LCL LOS CERROS LTD 0.05 71.12 11.89M
AVA AVA RISK GROUP LTD 0.16 70.92 36.87M
WEC WHITE ENERGY CO LTD 0.09 70.92 66.61M
TBR TRIBUNE RESOURCES LTD 6.87 70.73 380.28M
VML VITAL METALS LTD 0.01 70.53 23.57M
VMT VMOTO LTD 0.19 70.32 44.38M
CYL CATALYST METALS LTD 3.07 70.31 252.14M
CHN CHALICE GOLD MINES LTD 1.25 70.15 339.34M

As a market indicator, the Running Hot list continues to reflect the relative decline in volatility across sharemarkets in the wake of the emergency government stimulus measures announced at the end of March.

A total of 51 ASX small-caps traded with an RSI above 70, just shy of last week’s tally of 52.

And in the current environment, the Small Ords Index has clearly outperformed the big end of town. Friday’s gain capped its 5th straight daily increase, and the Index closed more than 5 per cent higher for the week.

The hot end of this week’s list was heavily populated by resources companies, which took up six of the top 10 positions.

 

Running Cold

Here’s a summary of the stocks that were running cold for the two weeks ended Friday, May 8:

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

Code Name Price ($) 2 Week RSI Market Cap
LNG LIQUEFIED NATURAL GAS LTD 0.04 29.84 24.80M
EVZ EVZ LTD 0.08 29.25 7.69M
MGU MAGNUM MINING AND EXPLORATION 0.04 28.06 12.18M
CD1 CORDISH DIXON PRIVATE EQUITY 0.74 27.79 28.87M
ENE ENEVIS LTD 0.04 27.3 2.66M
DVN DEVINE LTD 0.08 27.27 12.70M
ID8 IDENTITII LTD 0.10 26.68 5.91M
ARA ARIADNE AUSTRALIA LTD 0.38 26.24 74.57M
PSC PROSPECT RESOURCES LTD 0.08 25.7 19.95M
CGR CML GROUP LTD 0.28 25.58 62.01M
EN1 ENGAGE:BDR LTD 0.01 25.44 8.30M
KPT KANG. ISLAND PLANTATION TIMBERS 0.83 25.34 47.11M
SFM SANTA FE MINERALS LTD 0.05 25.04 3.93M
BHL BOYUAN HOLDINGS LTD 0.08 24.4 27.45M
MCM MC MINING LTD 0.15 24.24 21.16M
UCW UCW LTD 0.08 23.53 9.87M
CGA CONTANGO ASSET MANAGEMENT 0.25 22.94 11.82M
IXU IXUP LTD 0.02 20.78 4.46M
ARC AUSTRALIAN RURAL CAPITAL LTD 0.20 20.13 2.59M
KLO KINGSLAND GLOBAL LTD-CDI 0.06 19.83 24.30M
TIG TIGERS REALM COAL LTD 0.01 19.5 37.86M
ZER ZETA RESOURCES LTD 0.14 17.02 40.23M
SST STEAMSHIPS TRADING COMPANY 9.00 16.05 279.07M

There were only 26 stocks with an RSI below 30 this week, down from 33 in the week prior.

Near the height of the crisis in March, that figure jumped to around 200. So the broader trends will be worth watching as way to gauge market sentiment in the months ahead.