Taseko Mines Stock Getting Very Oversold

In trading on Tuesday, shares of Taseko Mines Ltd. (TGB) entered into oversold territory, changing hands as low as $1.91 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 Taseko Mines Ltd., the RSI reading has hit 22.2 — by comparison, the universe of metals and mining stocks covered by Metals Channel currently has an average RSI of 43.0, the RSI of Spot Gold is at 34.2, and the RSI of Spot Silver is presently 28.5.

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

A bullish investor could look at TGB's 22.2 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), TGB's low point in its 52 week range is $1.78 per share, with $2.66 as the 52 week high point — that compares with a last trade of $1.98. Taseko Mines Ltd. shares are currently trading down about 5.7% on the day.

Taseko Mines Ltd. 1 Year Performance Chart

According to the ETF Finder at ETF Channel, TGB makes up 3.50% of the Copper Miners ETF ( COPX) which is trading lower by about 0.6% on the day Tuesday.

More from Stocks

Dow Rises for First Time in 9 Days, Oil Soars as OPEC Agrees to Boost Output

Dow Rises for First Time in 9 Days, Oil Soars as OPEC Agrees to Boost Output

GM Defies Trump's Trade Outlook by Building New Chevy Blazer in Mexico

GM Defies Trump's Trade Outlook by Building New Chevy Blazer in Mexico

Video: Here Is Why Carvana Isn't Worried About Amazon

Video: Here Is Why Carvana Isn't Worried About Amazon

Jim Cramer: Okta Is a Very Expensive Stock

Jim Cramer: Okta Is a Very Expensive Stock

Here's Why Tesla's Solar Shakeup Makes Sense

Here's Why Tesla's Solar Shakeup Makes Sense