BSJF Crosses Critical Technical Indicator

In trading on Friday, shares of the Guggenheim BulletShares 2015 High Yield Corporate Bond ETF ( BSJF) entered into oversold territory, changing hands as low as $26.3101 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 Guggenheim BulletShares 2015 High Yield Corporate Bond, the RSI reading has hit 29.2 — by comparison, the RSI reading for the S&P 500 is currently 48.0.

START SLIDESHOW:
Find out what 9 other oversold stocks you need to know about »

A bullish investor could look at BSJF's 29.2 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), BSJF's low point in its 52 week range is $26.31 per share, with $27.10 as the 52 week high point — that compares with a last trade of $26.34. Guggenheim BulletShares 2015 High Yield Corporate Bond shares are currently trading down about 0.3% on the day.

Guggenheim BulletShares 2015 High Yield Corporate Bond 1 Year Performance Chart

If you liked this article you might like

Safe Funds That Yield a Bit More Than Money Markets

New Funds Limit the Risks of Bond Investing

9 Newly Rated ETFs For Your Portfolio