A:

The "percentage off the 52-week high or low" refers to when a security's current price is relative to where it has traded over the last 52 weeks. This gives investors an idea of how much the security has moved in the last year and whether it is trading near the top, middle or bottom of the range.

For example, consider a stock that in the last year traded as high as $12.50, as low as $7.50, and is currently trading at $10. This means the stock is trading 20% below its 52-week high (1 – (10/12.50) = 0.20 or 20%) and 33% above its 52-week low ((10/7.50) - 1 = 0.33 or 33%). This number is calculated by finding the difference between the current price and the high or low price over the last year, then determining what percentage of the high or low this difference represents.

(To learn more, check out the Stock Basics Tutorial and Market Breadth: A Directory Of Internal Indicators.)

RELATED FAQS
  1. How can I use market breadth to my advantage?

    Market breadth is a study that compares the number of companies on a given exchange that have created new 52-week highs to ... Read Answer >>
  2. How do I calculate the percentage gain or loss for my portfolio when all of the stocks ...

    Finding the total percentage gain or loss on a portfolio requires a few simple calculations. First, you should understand ... Read Answer >>
  3. Why is the Breadth Indicator useful for tracking the overall economy?

    See how analysts might use technical breadth indicators to judge the health of the economy as a whole, and learn why one ... Read Answer >>
  4. How do you calculate the percentage gain or loss on an investment?

    To calculate the gain, take the price for which you sold the investment and subtract from it the price that you initially ... Read Answer >>
  5. Why is it important for traders and investors to follow market indicators?

    Learn about market indicators such as the Advance/Decline Index and market breadth. Discover why these indicators are so ... Read Answer >>
  6. How do traders and analyst create profitable Swing Trading strategies?

    Learn about the benefits of swing trading and how analysts and traders take advantage of range-bound securities to profit ... Read Answer >>
Related Articles
  1. Investing

    3 Stocks Near Their 52-Week Lows

    Discover some stocks that are currently trading near their 52-week lows, which may be undervalued and offer a good buying opportunity for investors.
  2. Investing

    Lowe's to Benefit From Retail Sales Data (LOW)

    Thanks to rising trends in not only home sales, but also construction spending, Lowe's is poised to benefit from higher sales in the quarters ahead.
  3. Investing

    Why the S&P 500 Is Healthier Than It Looks

    While some observers worry the advance of the S&P 500 is fragile, GS sees impressive market breadth.
  4. Investing

    A Look At the Buy Low, Sell High Strategy

    Learn how to buy low and sell high by using objective measures to identify opportunities. Buying low and selling high is the goal of every investor.
  5. Investing

    Apple Sinks to Another 52-Week Low (AAPL)

    Apple Share Price Hits 52-Week low
  6. Trading

    These Stocks Could Surge to New Highs (LVS, IR)

    These stocks are channeling just below 52-week highs. Watch for a breakout and a continuation of the uptrend.
  7. Investing

    Assessing Capital One Stock at 52-Week High (COF)

    Shares of Capital One Financial have been on fire, surging almost 20% in the past three months and 12.4% in 30 days.
  8. Trading

    Beaten Down Stocks Offering Good Value (JKS, KEP)

    These stocks are trading at low valuations and could offer long-term upside based on technical and fundamental criteria.
RELATED TERMS
  1. 52-Week High/Low

    The highest and lowest prices that a stock has traded at during ...
  2. High-Low Index

    An index that seeks to provide confirmation of a market trend ...
  3. Hindenburg Omen

    A technical indicator named after the famous crash of the German ...
  4. Today's Low

    A security's intraday low trading price. Today's low is the lowest ...
  5. Today's High

    A security's intraday high trading price. Today's high is the ...
  6. Market Sentiment

    The overall attitude of investors toward a particular security ...
Hot Definitions
  1. Private Placement

    The sale of securities to a relatively small number of select investors as a way of raising capital.
  2. AAA

    The highest possible rating assigned to the bonds of an issuer by credit rating agencies. An issuer that is rated AAA has ...
  3. Backward Integration

    A form of vertical integration that involves the purchase of suppliers. Companies will pursue backward integration when it ...
  4. Pari-passu

    A Latin phrase meaning "equal footing" that describes situations where two or more assets, securities, creditors or obligations ...
  5. Interest Rate Swap

    An agreement between two parties (known as counterparties) where one stream of future interest payments is exchanged for ...
  6. Custodian

    A financial institution that holds customers' securities for safekeeping so as to minimize the risk of their theft or loss. ...
Trading Center