Oversold

Oversold

o condition in which the underlying asset price has fallen sharply and the level below which the true value resides.
o This condition is usually the result of market overreaction or panic selling.
Situation in technical analysis where the property price has fallen to such a degree - usually on high volume - it's reached the lower bound oscillator.
o This is interpreted as a sign that the cost of funds is becoming undervalued and may represent a buying opportunity for investors
o The funds have experienced sharp declines over a short period of time, often considered oversold.
o Determine the extent to which an asset is oversold is very subjective and could easily vary between investors.
o oversold is the opposite of overbought.