What it is
A stock within a few percent of its 52-week high has almost no overhead supply. That means nobody who bought in the last year is sitting on a loss and waiting to sell at break-even. That is why new highs tend to lead to more new highs. Research on momentum treats the 52-week high as one of the most reliable signals there is.
How Breakaway uses it
The 52W HI trait fires when the close is within 5 percent of the highest close of the last 252 trading days. Being near the high also earns points in the trend part of the Quality Score. A stock within 5 percent of its highest close on record gets a further point for being at a multi-year high. The New highs list in the scanner shows every stock within 2 percent.
How to read it
The trait means the most when it fires for the first time in a while, and the Fresh list shows those. A stock that has been lit for weeks is in a strong trend and may have run far already. Check the distance from the 21-day EMA before you chase it. One that just lit it after a long quiet stretch is the classic breakout.