BATT Getting Very Oversold
ETF Channel Staff - Thursday, January 27, 3:59 PMIn trading on Thursday, shares of the BATT ETF (BATT) entered into oversold territory, changing hands as low as $15.85 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 BATT, the RSI reading has hit 27.5 — by comparison, the RSI reading for the S&P 500 is currently 24.4.
A bullish investor could look at BATT's 27.5 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), BATT's low point in its 52 week range is $14.28 per share, with $20.78 as the 52 week high point — that compares with a last trade of $15.86. BATT shares are currently trading off about 3.5% on the day.
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