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First Trust BICK Index Fund (BICK) Enters Oversold Territory

Tickers in this article: BICK
In trading on Friday, shares of the First Trust BICK Index Fund ETF entered into oversold territory, changing hands as low as $20.38 per share. We define oversold territory using the Relative Strength Index, or RSI, which is a technical analysis indicator used to measure momentum on a scale of zero to 100. A stock is considered to be oversold if the RSI reading falls below 30.

In the case of First Trust BICK Index Fund, the RSI reading has hit 28.8 — by comparison, the RSI reading for the S&P 500 is currently 49.9.

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A bullish investor could look at BICK's 28.8 reading as a sign that the recent heavy selling is in the process of exhausting itself, and begin to look for entry point opportunities on the buy side.

Looking at a chart of one year performance (below), BICK's low point in its 52 week range is $19.86 per share, with $26.08 as the 52 week high point — that compares with a last trade of $20.38. First Trust BICK Index Fund shares are currently trading off about 1.4% on the day.

First Trust BICK Index Fund 1 Year Performance Chart