Relative Strength, the comparative technical performance of one or a group of securities against another, has always been a cornerstone of our investment process. Relative strength works because strong performance is not random; companies and sectors that outperform over a period of time tend to maintain the characteristics that helped them achieve high performance.
We use Dorsey Wright's proprietary research to identify and concentrate investments in those areas of the market with the highest Relative Strength. We maintain a consistent, unbiased, and unemotional investment strategy, backed by decades of research and analysis.
Please read our white paper for a more quantitative exploration of the performance of Relative Strength strategies:
About Tom Dorsey
Tom Dorsey, co-founder of Dorsey, Wright & Associates, is widely recognized for his pioneering work in technical analysis.
Mr. Dorsey is the author of Point & Figure Charting: The Essential Application for Forecasting and Tracking Market Prices, Thriving as a Broker in the 21st Century and Tom Dorsey’s Trading Tips: A Playbook for Stock Market Success.