Oatly (OTLY) Enters The Oversold Zone

According to the monthly chart, OTLY’s worth plunged 10%. Before it started to fall, it had gained from $ 16.27 to $ 18.39. The cost sank 29% in 3 weeks. It’s currently trading at $ 14.72. Oatly (OTLY) entered the oversold zone in Tuesday trading, hitting an RSI value of 29.8 after changing hands to just $ 13.58 per share. In comparison, the current RSI for the S&P 500 ETF (SPY) is 46.4.

Warren Buffett, a legendary investor, advises to be fearful when others are greedy and to be greedy when others are fearful. One way to measure the fear level of a given stock is to use a technical analysis indicator called the Relative Strength Index (RSI), which measures momentum on a scale from zero to 100. A stock is considered oversold if the RSI falls below 30, which is the case with OTLY. A bullish investor may view today’s RSI of OTLY value of 29.8 as a sign that recent active selling is running out and start looking for buy-side entry opportunities.