INKM Crowded With Sellers

In trading on Friday, shares of the SPDR SSGA Income Allocation ETF (INKM) entered into oversold territory, changing hands as low as $31.80 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 SPDR SSGA Income Allocation, the RSI reading has hit 29.7 — by comparison, the RSI reading for the S&P 500 is currently 44.4.

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

A bullish investor could look at INKM's 29.7 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), INKM's low point in its 52 week range is $30.95 per share, with $34.09 as the 52 week high point — that compares with a last trade of $31.82. SPDR SSGA Income Allocation shares are currently trading off about 0.5% on the day.

SPDR SSGA Income Allocation 1 Year Performance Chart

More from Stocks

Week Ahead: Trade Fears and Stress Tests Signal More Volatility To Come

Week Ahead: Trade Fears and Stress Tests Signal More Volatility To Come

3 Great Stock Market Sectors Millennials Should Invest In

3 Great Stock Market Sectors Millennials Should Invest In

Why Millennials Are Ditching Stocks for ETFs

Why Millennials Are Ditching Stocks for ETFs

Trump's 'Space Force' Could Launch a $1 Trillion Industry, Morgan Stanley Says

Trump's 'Space Force' Could Launch a $1 Trillion Industry, Morgan Stanley Says

Abiomed Stock Should Rise Some 12% From Here, Piper Jaffray Analyst Says

Abiomed Stock Should Rise Some 12% From Here, Piper Jaffray Analyst Says