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Related to Oversold: Overbought Oversold Indicators


Used in the context of general equities. Technically too low in price, and hence a technical correction is expected. Antithesis of overbought.


In technical analysis, describing a security with too low a price. This means that the technical indicators on the security do not justify its current price. Technical analysts may recommend buying oversold securities, as they are due for a price correction. See also: Overbought.


Of, relating to, or being a stock market that has declined rapidly and steeply in the recent past and is likely to exhibit short-term price increases in the near future. Determining whether a market is oversold is difficult and is subject to individual interpretation.


A stock, a market sector, or an entire market may be described as oversold if it suddenly drops sharply in price, despite the fact that the country's economic outlook remains positive.

For technical analysts, an oversold market is poised for a price rise, since there would be few sellers left to push the price down further.

References in periodicals archive ?
As seen in the DFMGI, bellweather Emaar Properties has also become the most oversold since the bottom of the bear market in January 2016.
An oversold condition used in a downtrend to identify a breakout going short.
US Airways Eugene-to-Phoenix flight is oversold by three seats March 22, by 15 seats on March 23 and by 10 seats on March 24, according to an airline industry source who asked not to be identified.
In a leaked speech, McNulty said: 'Perhaps in the past the Government in its enthusiasm oversold the cards' advantages.
Advertising shouldn't be slighted as a critical component to the marketing mix, nor should it be oversold as the means to gain market share.
At the same time, the rush to infuse schools with the latest technology has provoked critiques from a number of observers, with titles such as The Flickering Mind and Oversold and Underused.
Some skeptics wonder if the technology is being oversold.
Of course, technologies are typically oversold at the beginning of their careers, commonly leading to much disenchantment before they go on to redeem their promise.
Oversold as a cavalcade of kooky characters, crazy inventions, and mock-psychotic concoctions but under-theorized as an antidote to endgame self-consciousness, this biennial placed a high premium on mainstream appeal.
Critics have charged that Edison Schools, a for-profit company, has oversold its ability to turnaround the school system, which was taken over by the state late last year.
Most battered Asian share markets staged a technical rebound Monday with bargain hunters snapping up grossly oversold stocks in anticipation of a rebound in the U.
Prices of 10-year government bond futures rose for the second straight day Friday, as investors continued buying back bonds to adjust their oversold positions following a decline in bond prices early this week.