Relative Performance Spread

19 พ.ค.

**Relative Performance Spread Indicator – Overview**

This indicator compares the **relative performance between two stocks** by normalizing their prices and calculating the **spread**, **area under the curve (AUC)**, or **normalized price ratio**.

### **How It Works**

* **Input**: Select a second stock (`ticker2`) and a moving average window.
* **Normalization**: Each stock is normalized by its own moving average → `norm = close / MA`.
* **Spread**: The difference `spread = norm1 - norm2` reflects which stock is outperforming.
* **AUC**: Cumulative spread over time shows prolonged dominance or underperformance.
* **Bounds**: Bollinger-style bands are drawn around the spread to assess deviation extremes.

### **Usage**

* **Plot Type Options**:

* `"Spread"`: Spot outperformance; crossing bands may signal rotation.
* `"AUC"`: Track long-term relative trend dominance.
* `"Normalized"`: Directly compare scaled price movements.

Use this tool for **pair trading**, **relative momentum**, or **rotation strategies**. It adapts well across assets with different price scales.

19 พ.ค.

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This indicator compares the performance of two stocks by analyzing their deviation from their own moving averages. It offers five plot modes:

Spread: Shows the difference between the normalized prices of Stock 1 and Stock 2.

AUC (Area Under Curve): Cumulative spread over time, useful for detecting persistent out/underperformance.

Normalized: Plots each stock’s price relative to its moving average.

Z-Score Spread: Compares standardized deviations to highlight extreme divergences.

MA Spread Bound: Dynamically scales each stock’s deviation within upper/lower EMA bounds for robust comparison.