ADRE Crowded With Sellers

In trading on Friday, shares of the BLDRS Emerging Markets 50 ADR Index Fund ETF (ADRE) ADRE entered into oversold territory, changing hands as low as $37.09 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 BLDRS Emerging Markets 50 ADR Index Fund, the RSI reading has hit 28.5 — by comparison, the RSI reading for the S&P 500 is currently 47.8.

START SLIDESHOW:
Find out what 9 other oversold stocks you need to know about »

A bullish investor could look at ADRE's 28.5 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), ADRE's low point in its 52 week range is $35.27 per share, with $41.85 as the 52 week high point — that compares with a last trade of $37.33. BLDRS Emerging Markets 50 ADR Index Fund shares are currently trading down about 1.2% on the day.

BLDRS Emerging Markets 50 ADR Index Fund 1 Year Performance Chart

null

More from Stocks

A Hungry Grizzly Bear Is Stalking the Stock Market

A Hungry Grizzly Bear Is Stalking the Stock Market

Tesla Has Lost 15% Since Musk's Take-Private Tweet

Tesla Has Lost 15% Since Musk's Take-Private Tweet

Why Most Americans Like a Volatile Stock Market: Study

Why Most Americans Like a Volatile Stock Market: Study

Should Retirees Invest in the Tech Sector?

Should Retirees Invest in the Tech Sector?

Here's How to Trade Walmart, Nordstrom, Macy's and J.C. Penney After Earnings

Here's How to Trade Walmart, Nordstrom, Macy's and J.C. Penney After Earnings