Current List Of Oversold Stocks
Finding stocks that are currently oversold can offer traders and investors the opportunity to identify potential bargain buys or early stages of a rebound. The Relative Strength Index (RSI) is a widely used technical indicator when a stock’s RSI dips below 30, it is generally considered oversold. This topic explores the concept of oversold stocks, shares a snapshot of current oversold stocks across global markets, and explains how to interpret and act on this valuable technical signal.
What Does Oversold Mean?
In technical analysis, a stock is considered oversold when it has experienced significant selling pressure, often beyond what fundamentals would justify, indicated by the RSI falling below 30. This condition suggests the stock may be due for a price rebound as the selling momentum subsides. However, oversold does not guarantee a reversal, so additional confirmation is advised before acting.
How to Confirm Oversold Conditions
Here are common methods traders use to validate oversold signals:
- Check if the RSI falls below 30 and then crosses back above.
- Look for bullish candlestick formations like hammers or bullish engulfing patterns.
- Observe price touches or bounces off the lower Bollinger Band.
- Monitor MACD for a bullish crossover.
Combining RSI with these tools can prevent catching a falling knife during deep downtrends
Current Oversold Stocks Snapshot
Indian Stocks (RSI < 30)
According to Screener.in, these Indian stocks currently show RSI readings below 30:
- TCS (RSI ~27.7)
- Hindustan Motors (RSI ~26.9)
- DreamFolks Services (RSI ~21.6)
- HCL Technologies (RSI ~24.4)
- Newgen Software (RSI ~29.6)
- Tejas Networks (RSI ~27.4)
- Protean eGov (RSI ~29.5)
- Venky’s (India) (RSI ~29.1)
- Jindal Worldwide (RSI ~12.0)
- and others totaling 12 stocks
Global Large-Caps (S&P¯100) with RSI < 30
ABG¯Analytics reports the following S&P¯100 stocks are currently oversold:
- Abbott Laboratories (ABT) – RSI ~28%
- Adobe Systems (ADBE) – RSI ~28%
These names often present compelling entry points, though context and fundamentals matter
US Mid & Small Cap Stocks
Many US small-cap and micro-cap stocks also show extreme oversold conditions, such as:
- BCTX (BriaCell Therapeutics) – RSI ~14.5
- AIRE (reAlpha Tech) – RSI ~14.9
- CNC (Centene) – RSI ~15.4
- plus multiple others across sectors
Why Traders Watch Oversold Stocks
- Mean reversion: Stocks often bounce back after being oversold.
- Improved entry points: Potential to buy at lower prices when others are fearful.
- Attractive risk/reward: Price rebounds may offer outsized returns from a low base.
That said, oversold conditions can persist in downtrends, so traders also watch for confirmation before entering
Risks in Trading Oversold Stocks
- Stocks may be oversold due to poor fundamentals or structural issues.
- RSI can remain below 30 for extended periods during prolonged declines.
- False rebounds may occur; always use stop-loss orders to manage risk.
Steps to Trade Safely After RSI Overshoot
- Wait for RSI to cross above 30 to confirm momentum shift.
- Look for volume spikes, bullish candlestick patterns, or MACD crossovers.
- Set stop-loss just below recent lows to limit downside risk.
Where to Track Oversold Stocks
- Stock screener tools with RSI filters (e.g. Screener.in, TradingView)
- Technical analysis platforms like MarketBeat or Stock-Screener.org
- Broker-provided screeners with real-time RSI data
Use these sources to build and review a watchlist of oversold candidates regularly.
An oversold condition indicated by an RSI below 30 can signal an opportunity but requires caution and confirmation. The current lists show opportunities in Indian large-caps like TCS, HCL, global names like ABT and ADBE, and numerous smaller U.S. stocks. Technical confirmation tools and prudent risk management are essential to avoid value traps. By combining oversold signals with broader analysis and stop-loss planning, traders can approach these setups strategically for better trade outcomes.
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