As of March 24, 2025, two stocks in the financial 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.
Guild Holdings Co GHLD
- On March 6, Guild Holdings posted mixed results for the fourth quarter. “We delivered exceptional growth and strong results in 2024 that demonstrated the disciplined execution of our strategy to grow market share as we continue to realize the benefits of our balanced business model,” stated Terry Schmidt, Guild Chief Executive Officer. The company's stock gained around 18% over the past month and has a 52-week high of $18.26.
- RSI Value: 72.6
- GHLD Price Action: Shares of Guild Holdings gained 5.2% to close at $14.43 on Friday.
Root Inc ROOT
- On March 7, UBS analyst Brian Meredith maintained Root with a Neutral and raised the price target from $67 to $130. The company's stock gained around 61% over the past month and has a 52-week high of $165.23.
- RSI Value: 71.1
- ROOT Price Action: Shares of Root gained 5% to close at $160.26 on Friday.
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