DVYA Crosses Critical Technical Indicator

In trading on Monday, shares of the iShares Asia/Pacific Dividend ETF (DVYA) entered into oversold territory, changing hands as low as $49.67 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 iShares Asia/Pacific Dividend, the RSI reading has hit 29.3 — by comparison, the RSI reading for the S&P 500 is currently 66.1.

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A bullish investor could look at DVYA's 29.3 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), DVYA's low point in its 52 week range is $49.67 per share, with $59.64 as the 52 week high point — that compares with a last trade of $49.73. iShares Asia/Pacific Dividend shares are currently trading off about 1.2% on the day.

iShares Asia/Pacific Dividend 1 Year Performance Chart

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