SanDisk Corporation (SNDK) has been on a run that most stocks only dream about, but even the best sprinters eventually need to catch their breath. Shares fell 5.5% on Tuesday, June 16, after hitting a fresh 52-week high of $2,167.33, triggering concerns that the massive rally may be entering a cooling phase.
The move had already stretched so far that our own “Twitter Tom” flat-out labeled SanDisk one of the most overbought stocks in history after its relative strength index (RSI) briefly pushed above 99. The RSI measures the strength and speed of recent price moves on a 0 to 100 scale.
