A favorite meme stock, Robinhood Markets had its Relative Strength (RS) Rating upgraded from 78 to 83 Tuesday.
When looking for the best stocks to buy and watch, one factor to watch closely is relative price strength.
IBD's unique RS Rating measures technical performance by showing how a stock's price action over the last 52 weeks measures up against that of other stocks on the major indexes.
History reveals that the stocks that go on to make the biggest gains typically have an RS Rating of at least 80 as they begin their biggest climbs.
Looking For The Best Stocks To Buy And Watch? Start Here
Robinhood Markets is working on a consolidation with a 12.76 buy point. It is currently riding a 3-day upswing with higher volume. See if the stock can continue this move and clear the breakout price in above average volume.
The company showed 0% earnings growth last quarter, while sales growth came in at 47%. The company is expected to report its latest results on or around Aug. 2.
The company earns the No. 16 rank among its peers in the Finance-Investment Banking/Brokers industry group. LPL Financial Holdings and XP are also among the group's highest-rated stocks.
Stocks To Buy And Watch: Top IPOs, Big And Small Caps, Growth Stocks
