"Oversold stock" refers to a situation where investors have sold off a stock more than what is justified by its actual value. It indicates that the stock's price has dropped too low due to excessive selling, making it potentially undervalued and a possible opportunity for investors.
Full definition
Some investors may have seen an opportunity to
buy oversold stocks, said Brad McMillan, chief investment officer for Commonwealth Financial Network.
It's a limited edition so of course it was limited and from the article it was a error from amazon overselling stock
Steven G. suggestion was to look at the average hold period of
the oversold stocks over the years.
Rob D. suggested looking at
the oversold stock performance in different VIX bands.
In a situation where
an oversold stock continues on a journey downward day after day, the test will take each trade each day as a new independent trade if the stock continues to meet the filter criteria.
In a situation where
an oversold stock continues on a journey downward day after day - the test will take each trade each day as a new independent trade if the stock continues to meet the filter criteria.
The trouble is that
overselling stocks at times of high prices causes such huge losses that millions avoid stocks for decades.
Works particularly well if you have a IRA and don't have to pay a capital gain tax of course not
all oversold stocks bounce and thus the investor needs understand why the stock sold off and its bearing on that stocks future prospects