Top 5 Financial Stocks That May Fall Off A Cliff In Q1 2023

The most overbought stocks in the financial sector presents an opportunity to go short on these overvalued companies.

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.

Here’s the latest list of major overbought players in this sector.

SelectQuote Inc SLQT

SelectQuote named Ryan Clement to serve as CFO. The company’s stock has a 52-week high of $3.25 .
RSI Value: 72.28
SLQT Price Action: Shares of SelectQuote fell 4.5% to close at $2.43 on Friday.

Central Valley Community Bancorp CVCY

Central Valley Community posted better-than-expected Q4 results. The company’s stock has a 52-week high of $25.99.
RSI Value: 73.36
CVCY Price Action: Shares of Central Valley Community Bancorp fell 0.2% to close at $25.70 on Friday.

Oak Valley Bancorp OVLY

Oak Valley posted Q4 earnings of $1.15 per share, up from $0.42 per share in the year-ago period. The company has a 52-week high of $28.00.
RSI Value: 80.21
OVLY Price Action: Shares of Oak Valley Bancorp rose 0.1% to close at $27.60 on Friday.

Nerdwallet Inc NRDS

Nerdwallet reported better-than-expected Q4 EPS and sales results. The company’s 52-week high is $20.00.
RSI Value: 80.49
NRDS Price Action: Shares of Nerdwallet gained 2.6% to close at $19.72 on Friday.

Stellus Capital Investment Corp SCM

The company, during November, posted better-than-expected quarterly earnings. The company has a 52-week high of $16.08.
RSI Value: 72.83
SCM Price Action: Shares of Stellus Capital Investment gained 0.5% to settle at $15.97 on Friday.