Legendary investor Warren Buffett’s strategy to be fearful when others are greedy and vice versa is particularly relevant in today’s market, especially reflected in the movements of Advance Auto Parts Inc (AAP). On Monday, shares of AAP entered oversold territory with a Relative Strength Index (RSI) of 29.7, after trading as low as $31.76 per share.
Comparatively, the S&P 500 ETF (SPY) has an RSI of 21.9. AAP’s 52-week low is $31.76, while its 52-week high sits at $79.85, with the last trade at $32.55. This significant fluctuation may present buying opportunities for bullish investors sensing a potential reversal after recent heavy selling.
