IYK (IYK) Enters Oversold Territory
ETF Channel Staff - Monday, September 26, 10:57 AMIn trading on Monday, shares of the IYK ETF (IYK) entered into oversold territory, changing hands as low as $187.10 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 IYK, the RSI reading has hit 29.9 — by comparison, the RSI reading for the S&P 500 is currently 29.6.
A bullish investor could look at IYK's 29.9 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), IYK's low point in its 52 week range is $178.4941 per share, with $215.41 as the 52 week high point — that compares with a last trade of $188.39. IYK shares are currently trading off about 0.4% on the day.
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