In trading on Wednesday, shares of the iShares Micro-Cap ETF (IWC) entered into oversold territory, changing hands as low as $71.90 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 Micro-Cap, the RSI reading has hit 28.6 — by comparison, the RSI reading for the S&P 500 is currently 36.9. A bullish investor could look at IWC's 28.6 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), IWC's low point in its 52 week range is $58.86 per share, with $78.66 as the 52 week high point — that compares with a last trade of $72.07. iShares Micro-Cap shares are currently trading off about 0.8% on the day.