Top Oversold Stocks With Strong Technical Reversal Signals

 TechChartMaster
 
  TechChartMaster
 
Follow  Message
 
 
 
TechChartMaster specializing in key technical indicators, chart patterns, and trend analysis. With a focus on decoding market signals and providing actionable insights
 

•  03 Oct 2025
 

•   BSX  
   
  -0.35%
•   CPRT  
   
  +0.27%
•   DOCU  
   
  +0.78%
•   GDDY  
   
  -1.55%
•   IFF  
   
  -0.22%

$BSX Boston Scientific is nursing a 10% bruise from the past month, now trading at $97.67 with momentum finally turning positive. The stock has been beaten down below its key moving averages, and the RSI hovering near 39 signals the sellers might be getting tired. What catches my eye is the unusually light volume often a sign that the panic selling is running out of steam. Trading close to its long-term average around $100, this could be setting up for a relief rally if it can punch through that psychological barrier.

$CPRT Copart is stuck in no-man's land at $45, drifting sideways like a ship without wind. The RSI near 40 shows oversold conditions, but the real story is the compressed moving averages all clustered together, this coiled spring is ready to pop in either direction. Volume has completely dried up, which usually precedes a big move. Watch for a break above $47 with expanding volume for the bullish signal, or sub-$44 if the bears take control.

$DOCU DocuSign at $69.53 has the most beaten-down RSI in our group at just 33, screaming oversold. Morgan Stanley just upgraded their price target to $90, suggesting Wall Street sees value here. The stock is well below all its moving averages with resistance clustered around $77. Light volume indicates indecision, but any push above $72 could spark a nice bounce toward those moving averages.

$GDDY GoDaddy at $137 is in a clear downtrend, sitting $12 below its moving averages. But the RSI near 39 and collapsing volume suggest the selling pressure is fading. The stock needs to reclaim $140 to show signs of life, with the $143-145 zone as the key battleground. Cantor Fitzgerald's neutral stance doesn't inspire confidence, but the technical setup hints at a potential counter-trend bounce brewing.

$IFF International Flavors & Fragrances is showing classic downtrend weakness at $62, trading well below all key levels. Volume has evaporated to just 15% of normal—institutions have left the building. Morgan Stanley likes it fundamentally with a Buy rating, but the chart isn't cooperating yet. Wait for RSI to hit extreme oversold below 30 or watch for a reversal pattern with real volume before taking the bait.

$KDP Keurig Dr. Pepper is deeply oversold with RSI at 31 and trading around $26, far below its historical range in the low $30s. TD Cowen slashed their target to $28, but here's the twist, that still implies upside from here. Volume has collapsed to just 14% of average, a classic exhaustion signal. The downtrend is ugly, but at these levels, even a modest bounce toward that $28 target offers decent risk/reward for contrarians.

$KVUE Kenvue is absolutely crushed with RSI at just 28 one of the most oversold readings you'll see. At $16, it's trading $6 below its long-term average. Volume has dried up significantly, suggesting sellers are exhausted. Even Barclays' pessimistic new price target of $17 implies 6-7% upside. This is where the brave catch falling knives, and the technical capitulation is evident. Limited downside near $15 with recovery potential to $17-18 makes this interesting.

$ONON On Holding at $42.50 shows moderate oversold conditions with all the moving averages overhead acting as resistance. Volume is running at just 22% of normal nobody wants to play. UBS maintains a Buy rating, but the chart shows a stock that needs to prove itself by reclaiming $44. Until then, expect more sideways drift before any real recovery takes hold.

$VNOM Viper Energy is the wild card at $38.80, trading sideways despite being labeled oversold. The interesting part? Its 50-day average sits way up at $50, and TD Securities' new target of $54 still implies 40% upside despite being a downgrade. That's a massive gap suggesting either opportunity or danger. Energy stocks add extra volatility, but if crude cooperates, this consolidation could be the base for a significant recovery.

View All Headlines