In trading on Wednesday, shares of the Invesco BulletShares 2024 Corporate Bond ETF (Symbol: BSCO) entered into oversold territory, changing hands as low as $21.57 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 Invesco BulletShares 2024 Corporate Bond, the RSI reading has hit 28.6 — by comparison, the RSI reading for the S&P 500 is currently 25.2.
A bullish investor could look at BSCO’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), BSCO’s low point in its 52 week range is $21.5698 per share, with $22.42 as the 52 week high point — that compares with a last trade of $21.57. Invesco BulletShares 2024 Corporate Bond shares are currently trading off about 0.3% on the day.
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