But the strongest stocks reveal themselves *before* price moves.
It’s called the RS Phase; a repeatable signal of quiet strength.
Here’s how to spot it and trade it step-by-step:
The RS Phase starts when a stock’s RS line crosses above its 21-day EMA.
It signals that the stock is quietly outperforming the market, a key sign of accumulation before price confirms.
RS Phase stocks often:
- Hold up while the market pulls back
- Lead when the market turns
- Break out earlier and with more power
Most traders miss the best moves because they don’t recognize high-probability setups like the “Oops Reversal.”
Here’s how HIMS offered a textbook entry right after earnings—and what to learn from it:
This case study breaks down:
How HIMS got on the radar
The exact setup and entry
Risk sizing and trade management
Key takeaways for future trades
HIMS was already a momentum leader in the weight loss sector.
What made it actionable last week?