One important metric to look for in a stock is an 80 or higher Relative Strength Rating. Digital Realty Trust now clears that threshold, with a jump from 79 to 88 Monday.
This proprietary rating identifies technical performance by using a 1 (worst) to 99 (best) score that indicates how a stock's price performance over the last 52 weeks matches up against that of all other stocks.
History reveals that the top-performing stocks tend to have an 80 or better RS Rating as they launch their biggest runs.
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Digital Realty Trust has climbed more than 5% past a 161.61 entry in a second-stage cup with handle, meaning it's now out of a proper buy range. Look for the stock to create a new buying opportunity like a three-weeks tight or pullback to the 50-day or 10-week line.
Earnings grew 3% last quarter, up from -2% in the prior report. Revenue also increased, from -1% to 2%.
The company holds the No. 81 rank among its peers in the Finance-Property REITs industry group. CareTrust REIT, American Healthcare REIT and Essential Prop Realty Tr are among the top 5 highly rated stocks within the group.
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