Relative Rotation Graph (RRG) — US Equity
Dynamic Relative Rotation Graph for US stocks vs S&P 500. RS-Ratio and RS-Momentum with animated trails and quadrant rotation.
Overview
The Relative Rotation Graph (RRG) plots US equities in two dimensions versus the S&P 500: RS-Ratio (relative strength) on the x-axis and RS-Momentum (rate of change of relative strength) on the y-axis. This view identifies which names are rotating into or out of favor. Quadrants: Leading (outperforming with accelerating momentum), Weakening (outperforming but momentum fading), Lagging (underperforming with negative momentum), Improving (underperforming but momentum turning up). The chart shows animated trails so you can see how each name moves through quadrants over time.
Methodology
Weekly price data for a universe of US stocks and the S&P 500 benchmark (^GSPC) is fetched via the pipeline. Relative strength (RS) is computed as 100 × (stock price / benchmark price). RS-Ratio is the z-score of RS over a rolling window (default 14 weeks), expressed as 100 + z-score so that 100 is neutral. RS-Momentum is the z-score of the rate of change of RS-Ratio over the same window, expressed as 101 + z-score.
The rolling normalization ensures comparability across names and highlights rotation. The animation replays historical dates so you can observe sector and stock rotation through the four quadrants.