In trading on Monday, shares of the Defiance Daily Target 2X Long RIOT ETF (Symbol: RIOX) entered into oversold territory, changing hands as low as $28.03 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 Defiance Daily Target 2X Long RIOT, the RSI reading has hit 29.2 — by comparison, the RSI reading for the S&P 500 is currently 52.3.
A bullish investor could look at RIOX’s 29.2 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), RIOX’s low point in its 52 week range is $12.96 per share, with $153.75 as the 52 week high point — that compares with a last trade of $30.57. Defiance Daily Target 2X Long RIOT shares are currently trading down about 9.9% on the day.
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Further RIOX Research:
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