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 look out 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, June 11:

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

It’s hard to run much hotter than energy stock Doriemus (ASX:DOR), which doubled up last Tuesday after announcing a $3.3m capital raise, which it said will be used to continue developing its UK-based oil & gas assets.

DOR shares closed the week at 17c, which is a ~16,000pc premium to the 4,000,000 options priced at 0.1c that lead underwriter Inyati Capital Pty Ltd is seeking for facilitating the share placement (subject to shareholder approval).

The other stock to run super-hot this week was Coda Minerals (ASX:COD), which is often what happens when you unearth what looks like a serious IOCG (iron oxide copper gold ore) discovery 100km south of BHP’s Olympic Dam.

COD shares rose by 235% in a single day last Wednesday after the discovery announcement at the ‘Elizabeth Creek’ prospect in SA, which the company is developing in a joint venture with Torrens Mining (ASX:TRN).

Running Cold

Here’s a summary of the stocks that were running cold for the two weeks ended Friday, June 11:

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