In trading on Wednesday, shares of the ProShares S&P Global Core Battery Metals ETF (Symbol: ION) entered into oversold territory, changing hands as low as $47.585 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 ProShares S&P Global Core Battery Metals, the RSI reading has hit 29.3 — by comparison, the RSI reading for the S&P 500 is currently 52.6.
A bullish investor could look at ION’s 29.3 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), ION’s low point in its 52 week range is $29.7499 per share, with $69.55 as the 52 week high point — that compares with a last trade of $48.12. ProShares S&P Global Core Battery Metals shares are currently trading off about 4.4% on the day.
