Daily Emerging Markets Bear 3x Shares (EDZ) Enters Oversold Territory
In trading on Friday, shares of the Daily Emerging Markets Bear 3x Shares ETF (EDZ) entered into oversold territory, changing hands as low as $39.64 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 Daily Emerging Markets Bear 3x Shares, the RSI reading has hit 29.7 — by comparison, the RSI reading for the S&P 500 is currently 60.0.
A bullish investor could look at EDZ'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), EDZ's low point in its 52 week range is $39.08 per share, with $75.58 as the 52 week high point — that compares with a last trade of $39.81. Daily Emerging Markets Bear 3x Shares shares are currently trading off about 0.8% on the day.
Earn a FREE $100 Membership to ValueForum, Just By Telling Us About Your Favorite Stock! (Offer ends 11/10/2013)
Check Out Our Best Services for Investors
- $2.5+ million portfolio
- Large-cap and dividend focus
- Intraday trade alerts from Cramer
Access the tool that DOMINATES the Russell 2000 and the S&P 500.
- Buy, hold, or sell recommendations for over 4,300 stocks
- Unlimited research reports on your favorite stocks
- A custom stock screener
- Model portfolio
- Stocks trading below $10
- Intraday trade alerts