When looking for the best stocks to buy and watch, focus on those with rising relative price strength.
One stock that fits that bill is AngloGold Ashanti stock, which saw a welcome improvement to its Relative Strength (RS) Rating on Wednesday, with an increase from 88 to 92.
When you're researching the best stocks to buy and watch, keep a close on eye on relative price strength. IBD's proprietary rating measures market leadership with a 1 (worst) to 99 (best) score. The rating shows how a stock's price movement over the trailing 52 weeks holds up against all the other stocks in our database.
Decades of market research reveals that the stocks that go on to make the biggest gains typically have an 80 or better RS Rating at the beginning of a new price run.
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Is AngloGold Ashanti Stock A Buy?
AngloGold Ashanti stock has been rallying the past two months, retaking its 200-day moving average. While the gold stock is not near a proper entry right now, see if it is able to form and break out from a proper chart pattern.
Read "Looking For The Next Big Stock Market Winners? Start With These 3 Steps" for more tips.
The South African gold producer posted -16% earnings growth in its most recent report, while sales growth came in at 10%.
AngloGold Ashanti stock earns the No. 9 rank among its peers in the Mining-Gold/Silver/Gems industry group. Agnico-Eagle Mines, MAG Silver and Franco-Nevada are among the top 5 highly rated stocks within the group.
