FSTA Crosses Critical Technical Indicator
In trading on Wednesday, shares of the FSTA ETF (Symbol: FSTA) entered into oversold territory, changing hands as low as $43.02 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 FSTA, the RSI reading has hit 29.3 — by comparison, the RSI reading for the S&P 500 is currently 34.8. A bullish investor could look at FSTA'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), FSTA's low point in its 52 week range is $41.54 per share, with $49.0288 as the 52 week high point — that compares with a last trade of $43.13. FSTA shares are currently trading off about 6.3% on the day.
