Shares of BBJP Now Oversold
ETF Channel Staff - Thursday, March 5, 10:59 AMIn trading on Thursday, shares of the BBJP ETF (BBJP) entered into oversold territory, changing hands as low as $21.91 per share. We define oversold territory using the Relative Strength Index, or RSI, which is a technical analysis indicator used to measure momentum on a scale of zero to 100. A stock is considered to be oversold if the RSI reading falls below 30.
In the case of BBJP, the RSI reading has hit 29.7 — by comparison, the RSI reading for the S&P 500 is currently 39.0.
A bullish investor could look at BBJP's 29.7 reading as a sign that the recent heavy selling is in the process of exhausting itself, and begin to look for entry point opportunities on the buy side.
Looking at a chart of one year performance (below), BBJP's low point in its 52 week range is $21.3511 per share, with $25.55 as the 52 week high point — that compares with a last trade of $21.94. BBJP shares are currently trading off about 1.8% on the day.
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