Currently, Sempra Energy (SRE) stock is trading at $127.8, which is nearly 6% and 10% above its 50-day and 200-day moving average levels, respectively. The large premium to both of the company’s support levels indicates the strength in the stock. Sempra Energy’s 50-day moving average around $121.3 could act as a support in the short term. The recent strength in Sempra Energy stock has pushed it into the overbought zone with an RSI (relative strength index) at 70.
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Sempra Energy stock displayed a “golden cross” formation early last month. When a stock’s 50-day moving average level crosses above its 200-day level, it’s considered to be a bullish signal. Sempra Energy has rallied 6% since then.
Recently, Sempra Energy’s short interest was unchanged. The total shorted shares in Sempra Energy were ~21.2 million on March 15. The short interest ratio, which measures the days to cover the shorted shares, was 16x.
Sempra Energy’s implied volatility levels were close to 10%—lower than utilities (XLU) at large. The implied volatility indicates investors’ anxiety. Higher implied volatility is usually associated with a fall in stock prices.