Investors are watching Barings Global Short Duration High Yield Fund (NYSE:BGH) closely as the stock has reached “oversold” territory with an RSI of 18.84 as the equity reached $19.54 on a recent check.
The Relative Strength Index is a technical analysis oscillator which shows price strength when comparing and contrasting downward and upward movements. It can indicate oversold and overbought price levels for a given stock.
When looking at companies that are considered to be oversold, it is important to consider the moving averages of the security. We see here that the stock is -4.75% away from the 20-Day Simple Moving Average. Their 50-Day Simple Moving Average is a difference of -4.67% from current levels. Further back, their 200-Day Simple Moving Average is -2.93% difference from today’s price. Currently, the stock is -6.19% from its 50-Day High and -1.36% from the 50-day low.
Based on the stock’s volatility for the week, which is a statistical measure of the dispersion of returns for a given stock and represents average daily high/low percentage range of 1.40% and month of 0.82%. So are analysts giving the Buy signal at this juncture? Sell-side firms currently have a consensus recommendation of 3.00 on the shares. This is based on a 1 to 5 formula where 1 indicates a Strong Buy and 5 a Strong Sell. Analysts are projecting the stock to trade at 40.92 within the next 12-18 months.