Stockhead’s Hot Money Monday 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 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 Thursday, April 1:

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

Code Company Price RSI MktCap$
ROG Red Sky Energy 0.012 92 $ 41,412,799.77
88E 88 Energy Ltd 0.067 89 $ 863,989,739.74
PCL Pancontinental Oil 0.0035 85 $ 18,020,146.46
LEX Lefroy Exploration 1.28 77 $ 150,612,132.09
MOC Mortgage Choice Ltd 1.92 83 $ 239,995,084.80
ENX Enegex Limited 0.094 77 $ 13,076,873.26
DW8 Digital Wine Venture 0.16 84 $ 257,811,391.97
PVL Powerhouse Ven Ltd 0.155 70 $ 10,016,637.23
VR8 Vanadium Resources 0.073 78 $ 17,965,317.02
OKJ Oakajee Corp Ltd 0.085 76 $ 6,894,798.28
EM2 Eagle Mountain 0.655 70 $ 113,622,634.06
BXN Bioxyne Ltd 0.016 72 $ 10,242,326.37
ASO Aston Minerals Ltd 0.12 70 $ 100,245,204.34
AKO Akora Resources 0.475 72 $ 24,384,033.60
ZEO Zeotech Limited 0.105 74 $ 140,439,016.03
ITG Intega Group Limited 0.42 72 $ 170,118,047.20
OEC Orbital Corp Limited 1.06 74 $ 77,658,776.00
NAM Namoi Cotton Ltd 0.41 74 $ 57,627,958.36
SRH Saferoads Holdings 0.32 89 $ 11,987,770.56
8IH 8I Holdings Ltd 0.24 76 $ 77,778,204.57
SVM Sovereign Metals 0.535 71 $ 206,974,719.53
DTZ Dotz Nano Ltd 0.375 74 $ 127,970,008.52
CDD Cardno Limited 0.62 82 $ 244,782,168.23
CHN Chalice Mining Ltd 5.47 72 $ 1,794,827,073.81
GLH Global Health Ltd 0.52 74 $ 21,891,126.40

The company with the largest RSI is energy micro cap Red Sky Energy (ASX:ROG).

Shares have skyrocketed in the last two weeks ever since a petrophysical evaluation of its Killanoola Southeast-1 well in South Australia identified 16 metres of net pay zones – 10 times more than what the company was expecting.

Mortgage broking franchise Mortgage Choice (ASX:MOC) ran hot last week since receiving a $244 million takeover offer from REA Group (ASX:REA).

Lefroy (ASX:LEX) has gone on another run after its latest exploration update. The company has rocketed since February after exploration results at its Burns prospect and the company is expecting more results in mid-April.

Last year’s exploration success story Chalice (ASX:CHN), which has gone from 16 cents to $5.50 in 12 months, has also run hot after identifying further anomalies at its Julimar discovery – which it claims to be Australia’s first major palladium discovery.

 

Running Cold

Here’s a summary of the stocks that were running cold for the two weeks ended Thursday, April 1:

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

Code Company Price RSI MktCap$
PBX Pacific Bauxite Ltd 0.3 30 $ 1,189,842.10
ATU Atrum Coal Ltd 0.055 2 $ 32,571,372.57
CSX Cleanspace Holdings 1.94 18 $ 146,337,093.70
N1H N1 Holdings Ltd 0.075 20 $ 6,116,667.98
IS3 I Synergy Group Ltd 0.051 24 $ 9,368,984.99
AYS Amaysim Aus Ltd 0.21 9 $ 64,548,780.24
RSG Resolute Mining 0.445 27 $ 485,712,790.64
IKW Ikwezi Mining Ltd 0.28 15 $ 11,381,992.72
AAP Australian Agri Ltd 0.02 14 $ 6,094,335.36
ECG Ecargo Hldg 0.033 26 $ 20,303,250.00
AV1 Adveritas Ltd 0.12 25 $ 46,399,999.88
SCI Silver City Minerals 0.018 21 $ 8,772,484.55
HAW Hawthorn Resources 0.05 27 $ 16,675,780.65
GLB Globe International 4.51 29 $ 194,879,944.60
BMG BMG Resources Ltd 0.054 26 $ 12,959,549.53
FNP Freedom Food Ltd 0.475 3 $ 130,241,379.93
YFZ Youfoodz 0.62 26 $ 85,368,620.22
LCT Living Cell Tech. 0.012 28 $ 6,857,291.77
LBY Laybuy Group Holding 0.91 21 $ 153,526,760.64

The stock that has run the coldest is Atrum Coal (ASX:ATU) which has a coal project in Alberta.

The Canadian province has proposed regulations which would put its project in jeopardy and it has paused the project, sending shareholders rushing for the exits.

Dairy processing company Freedom Food (ASX:FNP) saw a similar sell-off too after ending a suspension of several months.

The company had discovered accounting irregularities which resulted in an exodus of senior staff and directors and required the company to recapitalise.