Oversold Conditions For Medivation (MDVN)

Apr 4 2014, 12:25pm CDT | by

Legendary investor Warren Buffett advises to be fearful when others are greedy, and be greedy when others are fearful. One way we can try to measure the level of fear in a given stock is through a technical analysis indicator called the Relative Strength Index, or RSI, which measures momentum on a scale of zero to 100. A stock is considered to be oversold if the RSI reading falls below 30.

In trading on Friday, shares of Medivation Inc (NASD: MDVN) entered into oversold territory, hitting an RSI reading of 29.0, after changing hands as low as $61.098 per share. By comparison, the current RSI reading of the S&P 500 ETF (SPY) is 63.6. A bullish investor could look at MDVN’s 29.0 RSI reading today 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. The chart below shows the one year performance of MDVN shares:

Looking at the chart above, MDVN’s low point in its 52 week range is $44.51 per share, with $88.20 as the 52 week high point — that compares with a last trade of $61.19. Find out what 9 other oversold stocks you need to know about »

According to the ETF Finder at ETFChannel.com, MDVN makes up 2.53% of the PowerShares Dynamic Biotechnology & Genome Portfolio ETF (AMEX: PBE) which is trading lower by about 1.9% on the day Friday.


Can your brain be trained to become a chart-predicting wizard? Click here to find out
/>/>
 
 

Don't miss ...

 

<a href="/latest_stories/all/all/30" rel="author">Forbes</a>
Forbes is among the most trusted resources for the world's business and investment leaders, providing them the uncompromising commentary, concise analysis, relevant tools and real-time reporting they need to succeed at work, profit from investing and have fun with the rewards of winning.

 

blog comments powered by Disqus

Latest stories

Tectonic event led to burst of animal life during Cambrian Age
New York, Nov 1 (IANS) A major tectonic event may have triggered the rise in sea level and other environmental changes that led to the Cambrian explosion, the sudden burst of animal life 530 million years ago, showed a research.
 
 
NASA's Mars spacecraft ready for test flight
Washington, Nov 1 (IANS) The US space agency National Aeronautics and Space Administration (NASA) has fully assembled the Orion spacecraft for a test flight Dec 4.
 
 
Women in majority in Brazil universities yet earn less
Rio de Janeiro, Nov 1 (IANS/EFE) Women are in majority at Brazilian universities but still earn less than men in the job market, according to a study.
 
 
US praises Cuba's contribution in fight against Ebola
New York, Nov 1 (IANS/EFE) US Ambassador to the UN, Samantha Power, praised Cuba's contribution to the fight against Ebola in West Africa, and said that her country is very grateful.
 
 
 

Latest from the Network

Amanda Bynes released from psychiatric facility
Los Angeles, Nov 1 (IANS) Troubled actress Amanda Bynes has been released from a psychiatric facility here. Three days after a judge ruled that she needed to spend at least another month in the facility, Bynes asked...
Read more on Celebrity Balla
 
20 militants killed in Pakistan clash
Islamabad, Nov 1 (IANS) At least 20 militants and four security personnel were killed Saturday in a clash in Pakistan's federally administered Orakzai Agency, an official said. Three security personnel were also...
Read more on Politics Balla
 
Ben Affleck broke Jennifer Lopez's heart
Los Angeles, Nov 1 (IANS) Singer-actress Jennifer Lopez says Ben Affleck was the first man to break her heart and admits that she didn't give herself enough time to "heal". The 45-year-old, who got divorced twice...
Read more on Celebrity Balla
 
IS poses grave threat to Pakistan, says MQM chief
Islamabad, Nov 1 (IANS) Pakistan's Muttahida Qaumi Movement (MQM) chief, Altaf Hussain, has said that the Islamic State (IS) is the new threat to Pakistan, media reported. Addressing a press conference in Karachi via...
Read more on Politics Balla
 
Tectonic event led to burst of animal life during Cambrian Age
New York, Nov 1 (IANS) A major tectonic event may have triggered the rise in sea level and other environmental changes that led to the Cambrian explosion, the sudden burst of animal life 530 million years ago, showed a...
Read more on Business Balla
 
Bob Dylan to release new album in 2015?
Los Angeles, Nov 1 ( IANS) Iconic musician Bob Dylan is reportedly set to release a new album in 2015. The 36th studio album will reportedly consist entirely of cover versions. The news of his new album started making...
Read more on Celebrity Balla
 
J.K. Rowling releases new Harry Potter story
Los Angeles, Nov 1 (IANS) Acclaimed author J.K. Rowling has written a new Harry Potter story and published it on her website, Pottermore. The author's latest work has been titled "Defence Against the Dark Arts Teacher...
Read more on Celebrity Balla
 
NASA's Mars spacecraft ready for test flight
Washington, Nov 1 (IANS) The US space agency National Aeronautics and Space Administration (NASA) has fully assembled the Orion spacecraft for a test flight Dec 4. Orion is scheduled to be launched aboard a Delta IV...
Read more on Business Balla
 
European Games opens ticketing sign-up page
Baku, Nov 1 (IANS) Baku 2015 European Games opened a sign-up page on its website to allow fans to register their interest in purchasing tickets for next summer's event. The website's sign-up page opened Friday night...
Read more on Sport Balla
 
Swiss authorities arrest three Iraqis
Geneva, Nov 1 (IANS) The Swiss authorities have confirmed that they have arrested three Iraqi citizens who are under suspicion of planning a terrorist attack in Europe. The office of the attorney general of...
Read more on Politics Balla