AMPS Crowded With Sellers

In trading on Tuesday, shares of the iShares Utilities Bond ETF (AMPS) entered into oversold territory, changing hands as low as $49.9201 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 Utilities Bond, the RSI reading has hit 28.2 — by comparison, the RSI reading for the S&P 500 is currently 49.9.

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

A bullish investor could look at AMPS's 28.2 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), AMPS's low point in its 52 week range is $49.18 per share, with $56.81 as the 52 week high point — that compares with a last trade of $49.92. iShares Utilities Bond shares are currently trading down about 0.9% on the day.

iShares Utilities Bond 1 Year Performance Chart

More from Stocks

Red-Hot Tilray Morphs Into Game of Trading Other Traders, Not the Stock

Red-Hot Tilray Morphs Into Game of Trading Other Traders, Not the Stock

Dow Rallies on Signs of a Thaw in U.S. and China Trade Battle

Dow Rallies on Signs of a Thaw in U.S. and China Trade Battle

Why 2018 Looks a Lot Like 2005

Why 2018 Looks a Lot Like 2005

How Closed-End Funds Can Play a Role in Your Portfolio

How Closed-End Funds Can Play a Role in Your Portfolio

Striking Options: Tariffs, Equities, Rates

Striking Options: Tariffs, Equities, Rates