Shares of NOA Now Oversold

In trading on Tuesday, shares of North American Energy Partners Inc. ( NOA) entered into oversold territory, changing hands as low as $6.88 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 North American Energy Partners Inc., the RSI reading has hit 28.3 — by comparison, the universe of energy stocks covered by Energy Stock Channel currently has an average RSI of 38.1, the RSI of WTI Crude Oil is at 29.6, and the RSI of Henry Hub Natural Gas is presently 39.4.

START SLIDESHOW:
Click here to find out which 9 other oversold energy stocks you need to know about »

A bullish investor could look at NOA's 28.3 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), NOA's low point in its 52 week range is $4.87 per share, with $8.50 as the 52 week high point — that compares with a last trade of $6.92. North American Energy Partners Inc. shares are currently trading off about 2.4% on the day.

North American Energy Partners Inc. 1 Year Performance Chart

If you liked this article you might like

3 Energy Stocks Pushing Industry Growth

3 Energy Stocks Pushing Industry Growth

3 Energy Stocks Nudging The Industry Higher

3 Energy Stocks Nudging The Industry Higher

Are these 6 dividend stocks under 10 dollars undervalued?

Are these 6 dividend stocks under 10 dollars undervalued?

Deal or No Deal: 4 Undervalued Dividend Stocks Under 10 Dollars

Deal or No Deal: 4 Undervalued Dividend Stocks Under 10 Dollars

North American Energy Partners' CEO Discusses F1Q13 Results - Earnings Call Transcript

North American Energy Partners' CEO Discusses F1Q13 Results - Earnings Call Transcript