Sempra Energy Slips 1.00% Amid Resistance At $83 As Technicals Signal Consolidation

Sempra Energy (SRE) concluded its latest trading session with a 1.00% decline, settling at $82.37 amidst relatively average volume, reflecting ongoing consolidation pressure near recent highs. Based on one year of historical data analyzed in reverse chronological order, the following technical assessment emerges, integrating multiple perspectives.
Candlestick Theory
Recent price action for Sempra reveals a potential near-term top forming near the $83.00 resistance zone. The session ending 2025-09-22 printed a bearish candle closing below its open near the low of the day, following a failed breakout attempt above $83.58 the prior session. Earlier, a clear bullish hammer on 2025-09-10 near $80.22 marked a significant short-term reversal off support. Key immediate support lies at the recent swing low near $81.98 (2025-09-22 low), with resistance firmly established between $83.00 and $83.60. Failure to surpass this zone promptly suggests continued consolidation or retracement risk.
Moving Average Theory
The moving average configuration exhibits a bullish longer-term structure but hints at short-term fatigue. Critically, the 200-day moving average (trailing near $78.50, based on historical lows) slopes upwards, confirming the primary uptrend. The 50-day MA (approximately $80.60) resides above the 200-day, reinforcing this positive bias. However, the current price ($82.37) hovers near the flatter 100-day MA (roughly $82.20), finding dynamic support/resistance here. The proximity of these averages suggests the stock is in a near-term decision phase, lacking decisive directional momentum. A sustained hold below the 100-day MA could pressure the price towards the stronger 50-day support near $80.60, while reclaiming $83.60 targets yearly highs near $87.
MACD & KDJ Indicators
The MACD indicator (12,26,9) displays a waning bullish momentum signal. While it recently crossed above its signal line near the zero line, the histogram bars are shrinking, indicating diminishing bullish thrust. Concurrently, the KDJ oscillator (likely using standard 9,3,3 settings) may be retreating from overbought territory (above 80) observed earlier during the rally towards $83.60. The Stochastic %K may have crossed below %D from overbought levels, aligning with the recent price pullback and signaling potential near-term weakening. Neither oscillator yet shows a decisive bearish crossover in MACD or a plunge in KDJ below 20, implying the consolidation/correction may not be complete but isn't signaling a major breakdown yet.
Bollinger Bands
Sempra's price currently trades near the upper band (approximately $83.00-$83.50 based on recent volatility), which has acted as resistance. Crucially, the bands underwent a significant contraction phase during August 2025, suggesting drastically reduced volatility. A notable expansion occurred with the late August breakout above $80, confirming the bullish impulse towards $83.60. The subsequent failure to sustain prices above the upper band and the retreat into the bands reinforces the resistance near $83. The band width remains relatively moderate, lacking a strong expansion signal for either direction currently. This supports the view of range-bound activity, bounded roughly by the 20-period SMA (middle band) near $82 and the upper band.
Volume-Price Relationship
Volume analysis reveals cautionary signals regarding the sustainability of recent rallies. The advance towards the $83.58 peak on 2025-09-19 occurred on heightened volume (9.02 million), suggesting buying conviction. However, subsequent up days struggled to match this volume intensity, and the recent decline on 2025-09-22 saw respectable volume (6.04 million), signaling distribution near resistance. Key breakdowns, like the drop below $75 in April 2025, occurred on exceptionally high volume (>10 million), confirming capitulation. The current failure to generate strong volume follow-through above $83 raises sustainability concerns for immediate upside continuation.
Relative Strength Index (RSI)
The 14-period RSI (based on gain/loss averages over the period) currently hovers near neutral territory, estimated at approximately 55 (using the formula: RSI = 100 - [100 / (1 + RS)] where RS = Avg Gain / Avg Loss). While the RSI moved above 70 into overbought territory during the late August/early September rally ($78 to $83.60), it has since retreated. It hasn't reached oversold levels (<30) since around July 2025 ($74-$76 range). The current neutral RSI reading lacks a directional bias but importantly shows no overbought warning demanding a pullback nor oversold conditions indicating a deeply discounted price. The bearish warning comes from its failure to make a higher high during the recent price peak above $83.00 compared to the peak in August 2025 when the RSI exceeded 70, indicating potential negative divergence.
Fibonacci Retracement
Applying Fibonacci retracement to the significant downward swing from the peak near $87.72 (2024-12-31) to the trough near $70.64 (2025-02-25) yields key potential reversal levels. The current price action revolves significantly around the 38.2% retracement level near $77.50-$78.00, which was recently broken upwards decisively, turning into support. The next major Fibonacci resistance levels stand at the 50% retracement near $79.20 (already surpassed) and the crucial 61.8% retracement near $80.75. Notably, the stock surpassed the 61.8% level strongly in mid-2025 and has been consolidating near the yearly highs above it. While specific peaks define the resistance ($83.60, $85.215), the yearly high zone near $87 becomes the ultimate Fibonacci resistance target within the context of this retracement move. Failure below $80.75 would target the 38.2% support as a major test.
Confluence and Divergence Summary
Significant confluence exists around the $83.00-$83.60 zone as a formidable resistance area validated by Bollinger Band tops, candlestick reversal patterns, declining volume enthusiasm on rally attempts, and historical price peaks. This reinforces the probability of further consolidation or a pullback near-term. A key divergence involves the RSI failing to confirm the recent price high above $83 while MACD momentum waned, providing a bearish warning signal. Conversely, the strong confluence of support exists near the $80.00-$80.60 region, backed by the rising 50-day MA, the psychological $80 round number, and the significant break of the 61.8% Fibonacci level. The robust long-term uptrend remains intact above the rising 200-day MA, but the weight of evidence near the current price suggests cautious consolidation is the immediate technical path for Sempra.