In trading on Monday, shares of the Daily Small Cap Bear 3x Shares ETF ( TZA) entered into oversold territory, changing hands as low as $22.63 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 Daily Small Cap Bear 3x Shares, the RSI reading has hit 28.0 — by comparison, the RSI reading for the S&P 500 is currently 60.4. A bullish investor could look at TZA's 28.0 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), TZA's low point in its 52 week range is $22.63 per share, with $74.00 as the 52 week high point — that compares with a last trade of $23.29. Daily Small Cap Bear 3x Shares shares are currently trading off about 4.9% on the day.