Oversold Conditions For Beneficial Mutual Bancorp (BNCL)

Legendary investor Warren Buffett advises to be fearful when others are greedy, and be greedy when others are fearful. One way we can try to measure the level of fear in a given stock is through a technical analysis indicator called the Relative Strength Index, or RSI, which measures momentum on a scale of zero to 100. A stock is considered to be oversold if the RSI reading falls below 30.

In trading on Tuesday, shares of Beneficial Mutual Bancorp Inc ( BNCL) entered into oversold territory, hitting an RSI reading of 28.0, after changing hands as low as $12.65 per share. By comparison, the current RSI reading of the S&P 500 ETF (SPY) is 51.8. A bullish investor could look at BNCL's 28.0 RSI reading today 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. The chart below shows the one year performance of BNCL shares:

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

Beneficial Mutual Bancorp Inc 1 Year Performance Chart

Looking at the chart above, BNCL's low point in its 52 week range is $8.36 per share, with $14.35 as the 52 week high point — that compares with a last trade of $12.71.

More from Stocks

Facebook Stock Slides Another 3% as Woes Continue

Facebook Stock Slides Another 3% as Woes Continue

Chart of the Day: How Jerome Powell Could Shift the Semiconductor Landscape

Chart of the Day: How Jerome Powell Could Shift the Semiconductor Landscape

Flashback Friday: Nvidia Is the Ultimate Chip and Dip

Flashback Friday: Nvidia Is the Ultimate Chip and Dip

Dow Ends Higher on Dovish Trump Tariff Comments; Nasdaq Falls

Dow Ends Higher on Dovish Trump Tariff Comments; Nasdaq Falls

How to Play Semiconductors Amid Nvidia's Crash, Cycle Pressure

How to Play Semiconductors Amid Nvidia's Crash, Cycle Pressure