GLOSSARY

Glossary

The key terms used in Trend Screener and trend-following trading, organized for quick reference.

Indicators & Scores

Relative Strength (RS)

A momentum measure that ranks how strongly a stock moves relative to the whole market, expressed as a percentile (1–99). Trend Screener computes it with a 40% weight on the 3-month window, 30% on 1 month, 20% on 6 months and 10% on 1 week. An RS of 99 means the top 1% by momentum. → Reading leaders with RS

RS Rating

Relative Strength expressed as a 1–99 rating. William O'Neil recommended narrowing buy candidates to leaders with an RS of 70 or higher — ideally 80–90 and above. → Reading leaders with RS

Industry Relative Strength (Industry RS)

A 1–99 score for a sector or industry group, combining the market-cap-weighted trend strength of its members with breadth (the share of strong names). It is a separate metric from the 0–100 Industry Score on the Industry Rankings page. The ordering of the screener's industry filter list and the leader basket on the Market Environment page rank industries by the Industry Score; industry RS serves only as the fallback ordering when ranking data is unavailable. → Industry Rankings

Industry Score

The 0–100 score that ranks the Industry Rankings page: the cap-weighted composite return of an industry's members (3M 40% · 1M 30% · 6M 20% · 1W 10%, the same windows and weights as a stock's RS), converted to a percentile across industries. Leadership, breadth and setup metrics are still computed and shown on the detail panel, but they are not part of the score (the breakout metric was removed outright in August 2026). The ordering of the screener's industry filter list (the rank number before each item) and the leader basket on the Market Environment page (top-10 ranked industries) rank industries by this score as well. It is a separate metric from industry RS (1–99), which measures relative strength alone. → Industry Rankings

Sector Ranking · Sector RS

The level above industry — sectors (Technology, Financials, Health Care…) ranked on exactly the same formula as the Industry Score (3M 40% · 1M 30% · 6M 20% · 1W 10%). The U.S. measures it on the closes of the 11 SPDR Select Sector ETFs (XLK, XLF, XLV…); Korea's sectors are this site's own themes rather than an index provider's taxonomy and have no usable ETF set, so they are measured as cap-weighted member baskets. Sector RS (1–99) is where that composite falls in the day's all-stock RS distribution, which puts it on the same yardstick as a stock's RS — Sector RS 70 means the sector beat 70% of stocks. In a broad decline a sector can carry a high RS on a negative return. → Industry Rankings

ADR% (Average Daily Range)

A volatility measure: how much higher the high was than the low on an average day over the last 20 trading sessions, computed as ( mean of (high ÷ low) − 1 ) × 100. Unlike the close-to-close change it measures intraday travel regardless of direction. Because it bounds both the return a trade can produce and the stop distance it requires, trend traders use it to choose which names to trade at all; the screener exposes it as an ADR column and as 3% / 3.5% / 4% / 4.5% / 5% floor filters. Higher is not better — more volatility has to be offset with a smaller position for the same risk. It is unrelated to the other ADR (American Depositary Receipt); on this site the ADR column and ADR% always mean the average daily range. → Trading ADR%

Breadth

The share of stocks within a group (market or industry) that are in a strong — or rising — trend. For the same average, higher breadth means the advance is spread broadly rather than concentrated in a few names. → Reading market breadth

Trends & Patterns

Trend Template

Mark Minervini's criteria for identifying a Stage 2 uptrend, made up of 8 conditions such as a proper moving-average alignment, proximity to a new high, and relative strength. A stock that passes all of them is shown as 8/8 in the table. → The 8 Trend Template criteria

Stage 2 Uptrend

In Stan Weinstein's stage analysis, the phase of sustained advance that follows a base (Stage 1). It refers to the period when price makes new highs above a rising moving average. → The 8 Trend Template criteria

Proper Moving-Average Alignment

Shorter moving averages stacked above longer ones in order (e.g., 50-day > 150-day > 200-day). It signals that the trend is aligned to the upside. → Moving averages in depth

VCP (Volatility Contraction Pattern)

A pattern in which, through pullbacks within an uptrend, the swings between lows and highs progressively narrow (e.g., 25% → 12% → 6%) and volume dries up. It is read as supply being absorbed while energy coils just before a breakout. → The VCP pattern

Pivot Point

The breakout price at the end of a base (such as a VCP) where buying demand concentrates. The entry is taken when price clears this level on rising volume. → Breakout trading

New High (52-Week High)

The highest price over the past 52 weeks. Leaders often keep advancing as they set new highs, so the Trend Template requires the current price to be within 25% of the 52-week high. → Breakout trading

Trading Strategy

CAN SLIM

The acronym for William O'Neil's growth-stock investing model. Its 'L' (Leader or Laggard) distinguishes leaders from laggards, and its key quantitative measure is the RS Rating. → Reading leaders with RS

Leader / Laggard

Leaders are the strong stocks that lead a market or industry; laggards trail the average. For the same setup, a leader's breakout has a higher success rate, while a laggard's breakout often ends as a fake breakout. → Reading leaders with RS

Breakout

Buying when price clears a base, a new high, or a pivot on rising volume. The success rate is highest when applied to high-RS leaders. → Breakout trading

Pullback

Buying when a leader in an uptrend temporarily pulls back to support such as the 10-, 20-, or 50-day moving average. The stop sits close by, so risk is small while the rebound potential is large. → Pullback trading

Fake Breakout

A failed breakout that appears to clear a new high or resistance but cannot follow through and falls back. It occurs more frequently in laggards. → Breakout trading

Data

Confirmed Daily Bar

A single day's OHLCV bar whose close is finalized after the market closes. All of Trend Screener's calculations run once a day on confirmed daily bars, free of intraday noise. → Methodology

Volume Filter

An optional filter that shows only stocks whose average volume over the last 50 trading days clears the floor you pick (100K—3M shares in the U.S., 50K—1M in Korea). It is separate from the pass (8/8) determination. → Reading accumulation

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