Buffett’s Wisdom: Thermo Fisher’s RSI Signals Potential Buying Opportunity
Legendary investor Warren Buffett famously advises investors to be fearful when others are greedy and to be greedy when others are fearful. One way to measure market sentiment or the level of fear surrounding a stock is through a technical analysis tool known as the Relative Strength Index (RSI). This indicator measures momentum on a scale from zero to 100, classifying a stock as oversold when its RSI falls below 30.
Thermo Fisher Scientific Enters Oversold Territory
In trading on Monday, shares of Thermo Fisher Scientific Inc (Symbol: TMO) reached an RSI of 29.3, indicating oversold conditions, as the stock changed hands for as low as $484.27 per share. In contrast, the current RSI for the S&P 500 ETF (SPY) stands at 35.4. For bullish investors, TMO’s current RSI reading may suggest that the recent heavy selling could be nearing its end, signaling potential entry points for buying. The chart below illustrates the one-year performance of TMO shares:
Recent Price Activity
Examining the chart, TMO has a 52-week low of $484.27 per share and a high of $627.88. The stock’s last trade was recorded at $492.90, showing signs of movement within its trading range.
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Also see:
- Shares Outstanding History
- XDSQ Videos
- Top Ten Hedge Funds Holding FMCX
The views and opinions expressed herein are those of the author and do not necessarily reflect those of Nasdaq, Inc.
