The most overbought stocks in the health care sector presents an opportunity to go short on these overvalued companies.

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.

Here’s the latest list of major overbought players in this sector.

Alterity Therapeutics Limited (NASDAQ:ATHE)

• Alterity Therapeutics launched ATH434 Phase 2 clinical trial in the United States for the treatment of individuals with multiple system atrophy. The company’s stock has a 52-week high of $10.50 .
• RSI Value: 91.14
• ATHE Price Action: Shares of Alterity Therapeutics rose 4.5% to settle at $3.96 on Wednesday and added 0.5% in after-hours trading.

DURECT Corporation (NASDAQ:DRRX)

• On December 20, 2022, Durect received a letter from Nasdaq that co has regained compliance for continued listing on Nasdaq. The company’s stock has a 52-week high of $9.70.
• RSI Value: 82.17
• DRRX Price Action: Shares of DURECT gained 4.7% to close at $6.96 on Wednesday and lost 3.6% in today’s pre-market trading.

Kronos Bio, Inc. (NASDAQ:KRON)

• Kronos Bio announced discovery collaboration with Genentech to advance novel therapies against transcriptional targets in oncology. The company has a 52-week high of $11.42.
• RSI Value: 74.19
• KRON Price Action: Shares of Kronos Bio gained 13.2% to close at $2.58 on Wednesday.

Cellectis S.A. (NASDAQ:CLLS)

• Mayflower Bioventures launched its first spin-out Primera Therapeutics in collaboration with Cellectis. The company’s 52-week high is $7.77.
• RSI Value: 81.97
• CLLS Price Action: Shares of Cellectis gained 0.9% to close at $3.56 on Wednesday and gained 1.7% in today’s pre-market trading.

CytomX Therapeutics, Inc. (NASDAQ:CTMX)

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