Relative Strength Alert For VSEC

Legendary investor Warren Buffett advises to be fearful when others are greedy, and be greedy when others are fearful. One way we can try to measure the level of fear in a given stock is through a technical analysis indicator called the Relative Strength Index, or RSI, which measures momentum on a scale of zero to 100. A stock is considered to be oversold if the RSI reading falls below 30.

In trading on Monday, shares of VSE Corp. ( VSEC) entered into oversold territory, hitting an RSI reading of 29.2, after changing hands as low as $60.55 per share. By comparison, the current RSI reading of the S&P 500 ETF (SPY) is 50.9. A bullish investor could look at VSEC's 29.2 RSI reading today 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. The chart below shows the one year performance of VSEC shares:

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

VSE Corp. 1 Year Performance Chart

Looking at the chart above, VSEC's low point in its 52 week range is $47.51 per share, with $84.06 as the 52 week high point — that compares with a last trade of $60.59.

According to the ETF Finder at ETF Channel, VSEC makes up 1.42% of the ProShares Russell 2000 Dividend Growers ETF ( SMDV) which is trading lower by about 0.1% on the day Monday.

If you liked this article you might like

Insider Trading Alert - VSEC, SPLK And STRZA Traded By Insiders

Insider Trading Alert - VSEC, SPLK And STRZA Traded By Insiders

VSEC About To Put More Money In Your Pocket

VSEC About To Put More Money In Your Pocket

VSE (VSEC) Upgraded From Hold to Buy

VSE (VSEC) Upgraded From Hold to Buy

VSE Corporation Stock Upgraded (VSEC)

VSE Corporation Stock Upgraded (VSEC)

VSE Corporation Stock Downgraded (VSEC)

VSE Corporation Stock Downgraded (VSEC)