On Friday, Bank of Nova Scotia earned a positive adjustment to its Relative Strength (RS) Rating, from 69 to 72.
IBD's proprietary rating identifies price action with a 1 (worst) to 99 (best) score. The rating shows how a stock's price behavior over the trailing 52 weeks compares to all the other stocks in our database.
Over 100 years of market history shows that the stocks that go on to make the biggest gains tend to have an 80 or higher RS Rating in the early stages of their moves. See if Bank of Nova Scotia can continue to rebound and hit that benchmark.
When To Sell Stocks To Lock In Profits And Minimize Losses
Bank of Nova Scotia broke out earlier, but is now around 3% below the prior 55.12 entry from a flat base. If a stock you're tracking clears a buy point then falls 7% or more below the original entry price, it's considered a failed base. Wait for the stock to set up and breakout from a new chart pattern and entry price. Also understand that the latest pattern is a later-stage base, and those involve more risk.
Earnings growth increased last quarter from -5% to 28%. But revenue gains fell from 4% to 3%.
Bank of Nova Scotia holds the No. 15 rank among its peers in the Banks-Money Centers industry group. NatWest Group ADR, Mitsubishi UFJ Finl ADR and Barclays ADR are among the top 5 highly rated stocks within the group.
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