Shares of DWSN Now Oversold

In trading on Wednesday, shares of Dawson Geophysical Co. (DWSN) entered into oversold territory, changing hands as low as $21.15 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 Dawson Geophysical Co., the RSI reading has hit 27.0 — by comparison, the universe of energy stocks covered by Energy Stock Channel currently has an average RSI of 39.8, the RSI of WTI Crude Oil is at 40.6, and the RSI of Henry Hub Natural Gas is presently 42.9.

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

A bullish investor could look at DWSN's 27.0 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), DWSN's low point in its 52 week range is $21.15 per share, with $34.90 as the 52 week high point — that compares with a last trade of $21.20. Dawson Geophysical Co. shares are currently trading down about 1.6% on the day.

Dawson Geophysical Co. 1 Year Performance Chart

More from Stocks

The Biggest Mistake Tesla Short Sellers Are Making Now

The Biggest Mistake Tesla Short Sellers Are Making Now

Stocks Rise Sharply, Facebook Ignites a Nasdaq Rally

Stocks Rise Sharply, Facebook Ignites a Nasdaq Rally

Is Tesla Still Racing Against Nvidia in Autonomous Driving?

Is Tesla Still Racing Against Nvidia in Autonomous Driving?

Dunkin' Donuts CEO to Short-Seller Jim Chanos: You're Wrong

Dunkin' Donuts CEO to Short-Seller Jim Chanos: You're Wrong

Facebook Continues to Hike Capital Spending but Investors Don't Seem Worried

Facebook Continues to Hike Capital Spending but Investors Don't Seem Worried