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This project provides a Relative Rotation Analysis (RRA) engine that normalizes asset performance against a benchmark, allowing traders to visualize lead-lag relationships and anticipate sector rotation before it appears in absolute price charts.

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Relative Rotation Analysis Dashboard

Animated.RRA.playback.mp4

FeaturesQuick StartMethodologyUsageDocumentationContributing

Python 3.8+ MIT License Production Ready


Overview

Relative Rotation Analysis Dashboard is an open-source, production-grade financial visualization tool that implements the relative rotation methodology for analyzing market sector dynamics. Built with Python, Plotly, and DuckDB, it provides institutional-quality analysis capabilities previously restricted to premium platforms.

What Makes This Different?

  • Dynamic Scaling Engine: Automatically optimizes visualization for current market conditions
  • High-Performance Backend: DuckDB integration enables sub-second query execution
  • Interactive Timeline Control: Scrub through historical data with animation and slider controls
  • Professional Visualization: 13-color chromatic spectrum with spline-smoothed trajectories
  • Zero Cost: Completely free and customizable for personal or commercial use

Features

Core Functionality

Quantitative RS-Ratio and RS-Momentum Calculation

  • RS-Ratio (Relative Trend Strength)
  • RS-Momentum (Trend Acceleration)
  • 100-baseline normalization for consistent interpretation

Advanced Visualization

  • Smooth vector trajectories using scipy spline interpolation
  • Quadrant overlays (Leading, Weakening, Lagging, Improving)
  • Real-time velocity calculations
  • Synchronized head/trail toggling

Interactive Controls

  • Play/Pause animation
  • Timeline slider for historical analysis
  • Individual ticker visibility toggles
  • Hover tooltips with precision metrics

Performance Optimized

  • Weekly data aggregation for noise reduction
  • Symmetric axis scaling prevents data compression
  • Efficient frame generation (<50ms per frame)

Quick Start

Prerequisites

Python 3.8 or higher
pip (Python package manager)

Installation

1. Clone the repository

git clone https://github.com/yourusername/relative-rotation-dashboard.git
cd relative-rotation-dashboard

2. Create virtual environment (recommended)

python -m venv venv

# On Windows:
venv\Scripts\activate

# On macOS/Linux:
source venv/bin/activate

3. Install dependencies

pip install -r requirements.txt

Basic Usage

1. Prepare your data (one-time setup)

import yfinance as yf
import duckdb
import pandas as pd

# Download weekly data
tickers = ['SPY', 'XLK', 'XLY', 'XLF', 'XLV', 'XLI', 'XLE', 'XLU', 'XLP', 'XLRE', 'XLB', 'XLC', 'VTV']
data = yf.download(tickers, period='2y', interval='1wk')

# Create DuckDB database
conn = duckdb.connect('market_data.duckdb')

# Flatten multi-index and insert data
df_flat = data['Close'].reset_index().melt(id_vars='Date', var_name='Ticker', value_name='Close')
df_flat['Open'] = df_flat['Close']  # Simplified for weekly data
df_flat['High'] = df_flat['Close']
df_flat['Low'] = df_flat['Close']
df_flat['Volume'] = 0

conn.execute('''
    CREATE TABLE IF NOT EXISTS weekly_close (
        Date DATE,
        Ticker VARCHAR,
        Open DOUBLE,
        High DOUBLE,
        Low DOUBLE,
        "Close" DOUBLE,
        Volume BIGINT,
        PRIMARY KEY(Date, Ticker)
    )
''')

conn.execute('INSERT INTO weekly_close SELECT * FROM df_flat')
conn.close()

2. Run the dashboard

python src/plot_rrg_chart.py market_data.duckdb --period 14 --trail 5

The dashboard will automatically open in your default browser.


Methodology

The RRG calculation implements a two-factor quantitative model:

1. RS-Ratio (X-Axis) - Relative Trend

Measures an asset's performance relative to a benchmark:

RS = Price(Asset) / Price(Benchmark)
RS-Ratio = 100 + [ROC(RS, period) × Rolling_Mean(3)] × 100
  • Values > 100: Outperforming the benchmark
  • Values < 100: Underperforming the benchmark

2. RS-Momentum (Y-Axis) - Trend Acceleration

Measures the rate of change in relative strength:

RS-Momentum = 100 + [ROC(RS-Ratio, period) × Rolling_Mean(3)] × 100
  • Values > 100: Relative strength is improving
  • Values < 100: Relative strength is deteriorating

Quadrant Interpretation

Quadrant RS-Ratio RS-Momentum Interpretation Action
Leading >100 >100 Strong outperformance, accelerating Hold/Buy
Weakening >100 <100 Still outperforming but losing momentum Take Profits
Lagging <100 <100 Underperforming and deteriorating Avoid/Sell
Improving <100 >100 Underperforming but gaining momentum Watch/Accumulate

Technical Details

Dynamic Scaling Algorithm:

# Ensures 90% chart utilization while maintaining (100,100) center
all_vals = np.concatenate([rs_ratio.values, rs_momentum.values])
max_deviation = max(abs(all_vals.max() - 100), abs(all_vals.min() - 100)) / 0.9
axis_limits = [100 - max_deviation, 100 + max_deviation]

Spline Smoothing:

# Cubic spline interpolation for smooth trajectories
t = np.linspace(0, 1, len(data_points))
t_new = np.linspace(0, 1, 25)  # 25 interpolated points
smooth_x = make_interp_spline(t, x_values, k=2)(t_new)
smooth_y = make_interp_spline(t, y_values, k=2)(t_new)

Usage

Command Line Options

python src/plot_rrg_chart.py <database_path> [options]

Required Arguments:
  database_path         Path to DuckDB database file

Optional Arguments:
  --period INT         Lookback period for calculations (default: 14)
  --trail INT          Number of trailing periods to display (default: 5)
  --output PATH        Custom output file path (default: auto-generated)

Examples

Basic sector analysis:

python src/plot_rrg_chart.py market_data.duckdb

Custom parameters:

python src/plot_rrg_chart.py market_data.duckdb --period 21 --trail 10

Save to specific location:

python src/plot_rrg_chart.py market_data.duckdb --output ~/Desktop/rrg_analysis.html

Customization

Modify ticker list (in plot_rrg_chart.py):

tickers = ['XLK', 'XLY', 'XLF', 'XLV', 'XLI', 'XLE', 'XLU', 'XLP', 'XLRE', 'XLB', 'XLC', 'VTV', 'IYT']
benchmark = 'SPY'  # Change to QQQ, DIA, etc.

Adjust color palette (line 18):

colors = [
    '#FF0000', '#FF007F', '#FF7F00', '#FF00FF', '#FFFF00',  # Warm spectrum
    '#7FFF00', '#00FF00', '#00FF7F', '#00FFFF', '#007FFF',  # Cool spectrum
    '#0000FF', '#4B0082', '#8B00FF'                         # Deep spectrum
]

Change animation speed (line 180):

"frame": {"duration": 100}  # Milliseconds per frame (50-200 recommended)

Documentation

Repository Structure

relative-rotation-dashboard/
├── src/
│   └── plot_rrg_chart.py           # Main plotting engine
├── docs/
│   ├── DEVELOPMENT_JOURNEY.md      # AI-assisted development blog
│   ├── methodology.md              # Detailed calculation formulas
│   └── images/                     # Screenshots and diagrams
├── examples/
│   ├── basic_usage.py              # Simple example
│   └── data_preparation.py         # Data pipeline example
├── tests/
│   └── test_calculations.py        # Unit tests (coming soon)
├── requirements.txt                # Python dependencies
├── LICENSE                         # MIT License
└── README.md                       # This file

Additional Resources


Performance

Benchmarks

Metric Value
Data query time <100ms (2 years weekly)
Calculation pipeline <200ms (13 tickers)
Frame generation ~50ms per frame
HTML file size ~8MB
Browser load time 1-2 seconds
Animation FPS 10 frames/second

System Requirements

Minimum:

  • Python 3.8+
  • 2GB RAM
  • Modern web browser (Chrome, Firefox, Safari, Edge)

Recommended:

  • Python 3.10+
  • 4GB RAM
  • Chrome or Firefox for best performance

Roadmap

Version 1.1 (Q2 2026)

  • CLI argument parser for dynamic benchmark selection
  • YAML/JSON configuration file support
  • Export to PNG/PDF for reports
  • Alternative color scheme presets

Version 1.2 (Q3 2026)

  • ATR-based volatility normalization
  • Correlation matrix overlay
  • Quadrant transition alerts
  • Historical pattern matching

Version 2.0 (Q4 2026)

  • Real-time data streaming integration
  • Multi-asset class support (commodities, forex)
  • Web dashboard (Dash/Streamlit)
  • REST API endpoint

Contributing

We welcome contributions! Please see CONTRIBUTING.md for guidelines.

Quick Start for Contributors:

  1. Fork the repository
  2. Create a feature branch: git checkout -b feature/amazing-feature
  3. Make your changes and add tests
  4. Commit with clear messages: git commit -m 'Add amazing feature'
  5. Push to your fork: git push origin feature/amazing-feature
  6. Open a Pull Request

Areas We Need Help:

  • Unit test coverage
  • Alternative RRG calculation methods
  • Data source plugins (Alpha Vantage, IEX Cloud)
  • Performance optimization
  • Documentation improvements

License & Disclaimer

Software License

MIT License - See LICENSE file for details.

This software is free for personal and commercial use with attribution.

Trademark Notice

"RRG" and "Relative Rotation Graphs" are registered trademarks of RRG Research. This project is an independent implementation of relative rotation analysis concepts and is not affiliated with, endorsed by, or sponsored by RRG Research.

Financial Disclaimer

This software is provided for educational and informational purposes only. It is not financial advice. Always conduct your own research and consult with a qualified financial advisor before making investment decisions. Past performance does not guarantee future results.


Acknowledgments

Technology Stack:

  • Plotly - Interactive visualization
  • DuckDB - High-performance analytics database
  • SciPy - Scientific computing library
  • NumPy - Numerical computation
  • Pandas - Data manipulation

Inspiration:

  • Julius de Kempenaer - Original RRG® methodology
  • StockCharts.com - Educational sector rotation content
  • The open-source community

AI Development Partner: This project was developed through iterative collaboration with ChatGPT, Gemini, Claude (Anthropic), showcasing the power of AI-augmented software engineering.


Citation

If you use this software in your research or projects, please cite:

@software{relative_rotation_dashboard,
  author = {Vialli Wong},
  title = {Relative Rotation Analysis Dashboard},
  year = {2026},
  url = {https://github.com/yourusername/relative-rotation-dashboard},
  version = {1.0.0}
}

Contact & Support

Issues: GitHub Issues

Discussions: GitHub Discussions

Email: vialliw@yahoo.com

Star the repo ⭐ if you find it useful!


Made with ❤️ using Python and AI collaboration

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This project provides a Relative Rotation Analysis (RRA) engine that normalizes asset performance against a benchmark, allowing traders to visualize lead-lag relationships and anticipate sector rotation before it appears in absolute price charts.

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