Genie Energy (GNE) Shares Enter Oversold Territory

In trading on Wednesday, shares of Genie Energy Ltd. (GNE) entered into oversold territory, changing hands as low as $6.54 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 Genie Energy Ltd., the RSI reading has hit 28.8 — by comparison, the universe of energy stocks covered by Energy Stock Channel currently has an average RSI of 54.5, the RSI of WTI Crude Oil is at 58.6, the RSI of Henry Hub Natural Gas is presently 81.3, and the 3-2-1 Crack Spread RSI is 50.8.

START SLIDESHOW:
Click here to find out which 9 other oversold energy stocks you need to know about »

A bullish investor could look at GNE's 28.8 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), GNE's low point in its 52 week range is $6.32 per share, with $14.97 as the 52 week high point — that compares with a last trade of $6.64. Genie Energy Ltd. shares are currently trading off about 4.5% on the day.

Genie Energy Ltd. 1 Year Performance Chart

More from Stocks

Lotteries Are for Losers: Kick the Habit and Become a Millionaire

Lotteries Are for Losers: Kick the Habit and Become a Millionaire

Bearish Bets: 2 Well-Known Stocks You Should Consider Shorting This Week

Bearish Bets: 2 Well-Known Stocks You Should Consider Shorting This Week

Alphabet's Waymo Is Moving Toward Self-Driving Semi Trucks

Alphabet's Waymo Is Moving Toward Self-Driving Semi Trucks

This 'Modern' Stock Market Needs to Change

This 'Modern' Stock Market Needs to Change

What to Expect From the Markets in 2019 According to an Abbott Downing Executive

What to Expect From the Markets in 2019 According to an Abbott Downing Executive