Warren Buffett’s Strategy Highlighted in Oversold Thermo Fisher Shares
Legendary investor Warren Buffett famously advises caution when markets grow overly optimistic and encourages boldness when fear prevails. One method to gauge market sentiment is the Relative Strength Index (RSI), a technical analysis tool that ranges from zero to 100. Stocks are deemed oversold when their RSI falls below 30.
During trading on Tuesday, Thermo Fisher Scientific Inc (Symbol: TMO) saw its shares enter oversold territory, with an RSI reading of 29.8, as prices dipped to $406.725. In contrast, the S&P 500 ETF’s (SPY) current RSI stands at 54.8. A bullish investor may interpret TMO’s 29.8 RSI as a potential indicator that selling pressure could be waning, prompting interest in buying opportunities. The chart below illustrates TMO’s performance over the last year:
In the year-long performance chart, TMO’s lowest point was $406.50 per share, with a 52-week high of $627.88. The most recent trading price was $406.85.
Find out what 9 other oversold stocks you need to know about »
Related Topics:
- Preferred Stocks by Industry
- Institutional Holders of ALPS
- Funds Holding PLX
The views and opinions expressed herein are those of the author and do not necessarily reflect those of Nasdaq, Inc.
