IBD, in conjunction with its parent company, William J. O'Neil and Company are responsible for one of the largest stock performance databases I know of. I'm sure that funds and brokerages have their own, but they do not make their information public. As far as I know, IBD is the only periodical which does. All of the data which I post here comes from IBD...or stockcharts.com.
The IBD data base rates every stock in the general market---one against the other, in a "who's good/better/best" challenge. IBD rates them by their current and annual earnings, ROE, sales, margins, supply and demand. In each of these major categories, is a host of sub-catagories too numerous to get into here. Each stock is given a number from 1 thru 99, according to where they settle after being "examined". The "99" is the highest rated, "1" is the lowest rated.
No, it's not an infallible system; occasionally a lower rated stock will breakout and rise above and surprise investors. It happens, but IBD is the best gauge I've found in the past 25 years to sort out the stocks with the best earnings, the best sales, the best margins, etc., from those which are lagging the general market standards, or standards held by other stocks in the same industry group. After all, it is the best performing mutual funds and institutions which usually choose the higher rated stocks. Many use the William J. O'Neil database.
NUAN has continued its slow [and hopefully inexorable] ascent. Since breaking it's 50 day m/a, the R/S has grown from "72" to Friday's "91". That's very strong progress! That means that NUAN is now performing better than 91% of the general market. The "numbers" have not changed at all. The up vs down and the acc/dis are just about the same as they were last week.
The real change is in the relative strength of NUAN...a look at a chart will reveal what I'm saying much better that I can say it!
So what now?
It would not surprise me to see some sort of a "consolidation". Remember, looking at a chart, NUAN has enjoyed three consecutive up weeks without taking a breather. Up 2.3% for this week. In fact, since July 25th, NUAN has INcreased about 19%, in a very shaky market environment. So a bit of sideways to down action would not be unwarranted.
Will it happen? I haven't any idea. With the strength that NUAN has shown and continues to show, it's very difficult to say when this power rally will run out of gas.
NUAN is at least 20 points [currently at "63"] from an "overbought" reading...
Trading sideways is something Nuance us very good at after moves upward. This has recently been followed by a downward move. However, look at last years graph. We trended upward from our summers low and expect we will do it again . Apple is to release iPhone 5 soon which will give the sideways movement little time . I think as many , apple will release early as it worries that Samsung will garner market share. Use the dips to buy more. If we compete for shares with the shorts then there will be no sideways trading .
Opa, I'm hoping and praying that NUAN makes a move like STX. STX reported disappointing results and reacted negatively before rocking up. I have a good feeling that we will have a very nice couple of weeks leading up to IPhone 5. Mind you, I don't think APPL is our ace in the hole but just a small part. NINA is SIRI's alter ego and will likely win the nomination for personal assistant of the day and maybe the new name for SIRI!!!!