SPDR Nuveen Bloomberg Municipal Bond (TFI) Enters Oversold Territory
ETF Channel Staff - Friday, May 19, 3:02 PMIn trading on Friday, shares of the SPDR Nuveen Bloomberg Municipal Bond ETF (TFI) entered into oversold territory, changing hands as low as $45.77 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 SPDR Nuveen Bloomberg Municipal Bond, the RSI reading has hit 29.6 — by comparison, the RSI reading for the S&P 500 is currently 63.7.
A bullish investor could look at TFI's 29.6 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), TFI's low point in its 52 week range is $43.43 per share, with $47.44 as the 52 week high point — that compares with a last trade of $45.76. SPDR Nuveen Bloomberg Municipal Bond shares are currently trading down about 0.2% on the day.
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