Keep an eye on Best Buy (BBY), which has become technically oversold.
After plunging from about $140, the stock appears to have caught strong support dating back to late 2020. In addition, RSI, MACD, and Williams’ %R are deep in oversold territory, too. Many times when these three indicators align in oversold territory, the stock bounces back. We saw that happen in March 2021, December 2020, and in March 2020. We’d like to see that happen again, with a potential bearish gap refill around $140, near-term.
With Best Buy, we’re simply interested in a bounce from excessively oversold conditions – especially with many of the weak hands now out of the retailer stock.