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Stocks Showing Rising Market Leadership: Netgear Earns 82 RS Rating

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On Thursday, Netgear ( NTGR ) cleared a key technical benchmark, seeing its Relative Strength ( RS ) Rating jump into the 80-plus percentile with an improvement to 82, up from 79 the day before.

[ibd-display-video id=2368044 width=50 float=left autostart=true] This proprietary rating tracks technical performance by using a 1 (worst) to 99 (best) score that identifies how a stock's price action over the trailing 52 weeks matches up against that of all other stocks.

Over 100 years of market history shows that the market's biggest winners tend to have an RS Rating of above 80 in the early stages of their moves.

See How IBD Helps You Make More Money In Stocks

Netgear has climbed more than 5% past a 52.00 entry in a third-stage cup with handle , meaning it's now out of a proper buy zone. Look for the stock to offer a new buying opportunity like a three-weeks tight or pullback to the 50-day or 10-week moving average.

Earnings growth increased last quarter from -17% to 7%. But sales fell from 6% to 5%. The next quarterly numbers are expected on or around Feb. 7.

The company holds the No. 6 rank among its peers in the Computer-Networking industry group. Arista Networks ( ANET ), Extreme Networks ( EXTR ) and Silicom ( SILC ) are among the top 5 highly rated stocks within the group.

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The views and opinions expressed herein are the views and opinions of the author and do not necessarily reflect those of Nasdaq, Inc.


The views and opinions expressed herein are the views and opinions of the author and do not necessarily reflect those of Nasdaq, Inc.

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