As of Sept. 17, 2024, two stocks in the communication services sector could be flashing a real warning to investors who value momentum as a key criteria in their trading decisions.
The RSI is a momentum indicator, which compares a stock's strength on days when prices go up to its strength on days when prices go down. When compared to a stock's price action, it can give traders a better sense of how a stock may perform in the short term. An asset is typically considered overbought when the RSI is above 70, according to Benzinga Pro.
Here's the latest list of major overbought players in this sector.
Travelzoo (NASDAQ:TZOO)
- On Sept. 4. Litchfield Hills analyst Theodore O'Neill initiated coverage on Travelzoo with a Buy rating and announced a price target of $35.. The company's stock gained around 16% over the past month and has a 52-week high of $15.23.
- RSI Value: 73.82
- TZOO Price Action: Shares of Travelzoo fell 4% to close at $14.32 on Monday.
Roblox Corp (NYSE:RBLX)
- Roblox recently announced multiple upcoming changes to encourage more traditional game developers. The company's stock gained around 13% over the past month and has a 52-week high of $47.50.
- RSI Value: 70.90
- RBLX Price Action: Shares of Roblox gained 0.8% to close at $46.24 on Monday.
Read More:
- 'If You Want Steel, You Do Nucor,' Says Cramer When Asked About Gerdau