Warren Buffett’s Greed and Fear Philosophy: Novartis Hits Oversold Mark
Legendary investor Warren Buffett once said to be fearful when others are greedy, and to be greedy when others are fearful. One tool that can help investors gauge fear in a stock is the Relative Strength Index, or RSI. This technical indicator measures momentum on a scale from zero to 100. A stock is considered oversold if its RSI falls below 30.
Novartis Enters Oversold Territory
On Wednesday, shares of Novartis (Symbol: NVS) entered oversold territory with an RSI reading of 29.9. The stock traded as low as $109.755 per share. In comparison, the current RSI of the S&P 500 ETF (SPY) stands at 58.9. A bullish investor may interpret NVS’s 29.9 RSI as a potential signal that intense selling is slowing down, prompting a look for buying opportunities.
Performance Overview
The chart below illustrates the one-year performance of NVS shares:
NVS’s 52-week low is $92.35 per share, while its high has reached $120.92. The most recent trade occurred at $109.91.
Check out 9 other oversold stocks you need to know about »
Related Insights:
CMOH Insider Buying
CYCC Market Cap History
CELH Insider Buying
The views and opinions expressed herein are those of the author and do not necessarily reflect those of Nasdaq, Inc.
