iShares U.S. Financials ETF Shows Oversold Signals Amid Market Decline

During trading on Monday, shares of the iShares U.S. Financials ETF (Symbol: IYF) fell into oversold territory, reaching a low of $107.14 per share. Oversold territory is defined by the Relative Strength Index (RSI), a popular technical analysis tool that measures momentum on a scale of zero to 100. A stock is deemed oversold when its RSI reading drops below 30.

Currently, IYF has an RSI of 28.0, compared to the S&P 500’s 28.9. For bullish investors, the 28.0 RSI may suggest that the substantial selling pressure is nearing exhaustion, prompting a search for potential buying opportunities.

Analyzing IYF’s performance over the past year, the ETF’s low point was $89.10 per share, while the 52-week high reached $119.90. The last recorded trade was at $108.17, indicating that iShares U.S. Financials shares are down approximately 2.9% for the day.

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The views and opinions expressed herein are those of the author and do not necessarily reflect those of Nasdaq, Inc.