Seagate Technology’s share price was heavily penalized and the stock is now in an oversold situation near to a solid support area.

The security follows a downward trend in the short term, under the USD 50.75 resistance area. The trend is also bearish also in a mid-term horizon. However, the selling pressure could run out of steam soon. Indeed, whereas the stock shows an oversold condition, the USD 45.95 support area currently tested might stop the bearish trend in the next trading sessions.

The technical situation calls for Seagate Technology buys at current prices with an upside potential to USD 52.62, which represents a performance of 8.7%. This investment strategy will require a stop loss below USD 45.95.