When analyzing stocks, many investors use the Relative Strength Index (RSI) as it compares the current stock price strength to previous prices. When the RSI is over 70, it is said to be overbought; when falls below 30, it is said to be oversold. RSI is considered by many investors to be a reliable oscillator and, therefore, is tracked regularly. The three oversold stocks to highlight are Pan American Silver Corp. (USA) (NASDAQ:PAAS), United Technologies Corporation (NYSE:UTX), and Newmont Mining Corp (NYSE:NEM).
The Pan American Silver Corp. (USA) (NASDAQ:PAAS) stock has an RSI that is 19.56. It has a complete return over one month of -14.56%. Over a period of three months, its return is 27.86%. At the time of recent close, its price was on the rise from its 52-week low of 1.07%, but on a downward turn from its 52-week high with -55.1%. It is -26.2% below its 50-day average price, and the stock is -18.8% as compared to the SMA 20.
For United Technologies Corporation (NYSE:UTX), the RSI measures at 18.33. Its complete return over one month is -8.72%, with its 3-month return at -11.91%. The price is on the rise, as of recent closing time, as measured over the last 52 weeks, from its low of 6.08%. It is down from its high over that same 52-week period; it is -17.95% for this measurement. It is -11.41% below the 50-day average price and, when compared to the SMA 20, it is -8.33%.
Consider Newmont Mining Corp (NYSE:NEM) to be oversold. This conclusion is formed by its current RSI value of 19.83. The stock is down over one month to -15.05%, with a -22.67% return over the last three-month period. Share price, as taken over the last 52 weeks, is on an upswing of 5.45%, although it is down from its 52-week high with -33.56%. The present-time share price is -24.64% below its average price over the past 50 days; it is -17.51% when compared with the SMA 20.