Futu Holdings Surges in Market Leadership: Can it Reach 80 RS Rating and Complete Cup with Handle Pattern?

On Tuesday, Futu Holdings (FUTU) experienced a significant increase in its Relative Strength (RS) Rating, moving from 68 to 75. IBD’s RS Rating is a unique measure of market leadership on a scale of 1 to 99, with 99 indicating the best performance compared to other publicly traded companies over the past 52 weeks. This recent improvement for Futu Holdings is notable as research has shown that stocks with an RS Rating above 80 tend to be the best performers.

As the stock continues to show signs of renewed price strength, investors will be watching to see if it can reach the benchmark RS Rating of 80 or higher as it potentially makes its biggest price moves. Additionally, the company is currently trying to complete a cup with handle pattern with a 65.44 entry price, and investors will be monitoring its progress to see if it can break out on high volume, signaling potential further gains.

In the most recent quarterly report, Futu Holdings showed -6% earnings growth and 4% sales growth. Despite this performance, the stock ranks No. 9 among its peers in the Finance-Investment Banking/Brokers industry group. Within this industry group, top-rated stocks include Interactive Brokers (IBKR), XP (XP), and Robinhood Markets (HOOD). As investors evaluate whether to buy Futu Holdings stock, they will weigh these factors along with market trends and analysis tools to make informed decisions about their investments.