Shares of FTGC Now Oversold

In trading on Wednesday, shares of the First Trust Global Tactical Commodity Strategy Fund ETF ( FTGC) entered into oversold territory, changing hands as low as $30.94 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 First Trust Global Tactical Commodity Strategy Fund, the RSI reading has hit 28.5 — by comparison, the RSI reading for the S&P 500 is currently 49.4.

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A bullish investor could look at FTGC'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), FTGC's low point in its 52 week range is $28.85 per share, with $50.84 as the 52 week high point — that compares with a last trade of $30.97. First Trust Global Tactical Commodity Strategy Fund shares are currently trading down about 0.7% on the day.

First Trust Global Tactical Commodity Strategy Fund 1 Year Performance Chart

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