Shares of HYHG Now Oversold

In trading on Friday, shares of the Proshares High YieldInterest Rate Hedged ETF ( HYHG) entered into oversold territory, changing hands as low as $77.66 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 Proshares High YieldInterest Rate Hedged, the RSI reading has hit 28.2 — by comparison, the RSI reading for the S&P 500 is currently 33.6.

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

A bullish investor could look at HYHG's 28.2 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), HYHG's low point in its 52 week range is $77.66 per share, with $81.78 as the 52 week high point — that compares with a last trade of $77.90. Proshares High YieldInterest Rate Hedged shares are currently trading off about 1.7% on the day.

Proshares High YieldInterest Rate Hedged 1 Year Performance Chart

If you liked this article you might like

ProShares High YieldInterest Rate Hedged Getting Very Oversold

Keep Your Duration Down With Bond ETFs

ProShares Bond ETFs Offer Fix for Rising Rate Fears

New High Yield Bond Fund Hedges Out Interest Rate Risks

Quick Take: Top-Line Results Beat Bernanke