Companhia Paranaense De Energia - COPEL Stock Getting Very Oversold

In trading on Monday, shares of Companhia Paranaense De Energia - COPEL ( ELP) entered into oversold territory, changing hands as low as $14.11 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 Companhia Paranaense De Energia - COPEL, the RSI reading has hit 26.8 — by comparison, the universe of energy stocks covered by Energy Stock Channel currently has an average RSI of 43.8, the RSI of WTI Crude Oil is at 39.9, and the RSI of Henry Hub Natural Gas is presently 44.2.

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

A bullish investor could look at ELP's 26.8 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), ELP's low point in its 52 week range is $9.82 per share, with $18.29 as the 52 week high point — that compares with a last trade of $14.14. Companhia Paranaense De Energia - COPEL shares are currently trading off about 3.6% on the day.

Companhia Paranaense De Energia - COPEL 1 Year Performance Chart

According to the ETF Finder at ETF Channel, ELP makes up 2.97% of the iShares Global Clean Energy ETF ( ICLN) which is trading lower by about 0.8% on the day Monday.

If you liked this article you might like

Here Is Why These 5 Emerging-Market Picks Are Poised for Growth

Here Is Why These 5 Emerging-Market Picks Are Poised for Growth

Utilities Sector Tanks Following Trump Victory

Utilities Sector Tanks Following Trump Victory

Watch Brazil for More Than Just the Olympics

Watch Brazil for More Than Just the Olympics

5 Utility Stocks to Buy When the Markets Are Tanking (See: Brexit)

5 Utility Stocks to Buy When the Markets Are Tanking (See: Brexit)

Energy Company Of Parana (ELP) Flagged As Strong On High Volume

Energy Company Of Parana (ELP) Flagged As Strong On High Volume