| Etsy provides sellers a marketplace with buyers along with a range of seller tools and services that are designed to help its entrepreneurs generate more sales and scale their businesses. Co.'s platform includes the Etsy and Reverb Holdings, Inc. (Reverb) online marketplaces, its seller tools and services, its engaged sellers and buyers, and its technology. Co.'s primary marketplace, Etsy.com, is where buyers come to discover a selection of goods that are hard to find elsewhere. Reverb, Co.'s subsidiary, operates as a separate marketplace. This two-sided marketplace connects buyers and sellers of new, used, and vintage musical gear from all over the world. |
When researching a stock like Etsy, many investors are the most familiar with Fundamental Analysis — looking at a company's balance sheet, earnings, revenues, and what's happening in that company's underlying business. Investors who use Fundamental Analysis to identify good stocks to buy or sell can also benefit from ETSY Technical Analysis to help find a good entry or exit point. Technical Analysis is blind to the fundamentals and looks only at the trading data for ETSY stock — the real life supply and demand for the stock over time — and examines that data in different ways. One of these ways is called the Relative Strength Index, or RSI. This popular indicator, originally developed in the 1970's by J. Welles Wilder, looks at a 14-day moving average of a stock's gains on its up days, versus its losses on its down days. The resulting ETSY RSI is a value that measures momentum, oscillating between "oversold" and "overbought" on a scale of zero to 100. A reading below 30 is viewed to be oversold, which a bullish investor could look to as a sign that the selling is in the process of exhausting itself, and look for entry point opportunities. A reading above 70 is viewed to be overbought, which could indicate that a rally in progress is starting to get crowded with buyers. If the rally has been a long one, that could be a sign that a pullback is overdue.