Eversource Stock Surges 4.88% With Bullish Technical Signals Eyeing 68.50 Breakout

Candlestick Theory
Recent Eversource price action shows noteworthy patterns. The September 19th session formed a robust bullish candle (4.88% gain) closing near the high of $67, following a hammer pattern on September 18th (long lower wick, small real body). This suggests rejection of lows and emerging buying pressure. Key resistance is observed at $68.05 (September 30, 2024 high), while immediate support rests near $63.69 (September 19, 2025 low). Consecutive bullish candles signal short-term bullish momentum, though sustainability requires confirmation above $68.
Moving Average Theory
The 50-day moving average (~$64.80) recently acted as dynamic support during the August-September consolidation. Currently, price trades above the 50-day and 100-day MAs but below the 200-day MA (~$68.50), indicating mixed signals. A "golden cross" occurred in January 2025 (50-day crossing above 200-day), supporting the broader uptrend from 2024 lows. However, failure to reclaim the 200-day MA may sustain intermediate bearish pressure. The 50/100-day MAs are converging, hinting at potential trend inflection.
MACD & KDJ Indicators
MACD shows a nascent bullish crossover, with the histogram turning positive as of September 19th. This aligns with the price rebound, suggesting strengthening momentum. KDJ exited oversold territory (K=20, D=18) on September 15th, with the K-line now crossing above D-line (53/47). While both oscillators support short-term upside, MACD remains below its signal line centerline, indicating intermediate caution. No significant divergence exists currently.
Bollinger Bands
Bollinger Bands contracted sharply during the August-September consolidation (bandwidth narrowing 30%), reflecting plummeting volatility. The September 19th breakout closed above the 20-period midline (~$65.60), confirming bullish momentum. Price now approaches the upper band (~$68.20), which converges with the $68.05 resistance. A sustained close above the upper band would signal overbought conditions and potential continuation, while rejection could trigger mean reversion.
Volume-Price Relationship
The 4.88% surge on September 19th was backed by significantly elevated volume (13.49M shares vs. 30-day avg ~3.5M), validating buyer conviction. Earlier breakdowns (e.g., September 16th’s -3.21% decline) saw above-average volume, confirming bearish momentum. Recent volume expansion during advances supports bullish continuation, though persistence above average volume is critical for trend sustainability.
Relative Strength Index (RSI)
RSI(14) rebounded from oversold levels (28.6 on August 26th) to 58.7 as of September 19th. The current reading suggests neutral territory, allowing room for further upside before overbought concerns (>70) arise. Earlier RSI divergence in February 2025 (higher highs in RSI vs. lower highs in price) preceded the March correction. Presently, no bearish divergence is evident.
Fibonacci Retracement
Using the March 2025 high ($70.02) and August 2025 low ($60.55), key levels emerge:
- 61.8% retracement at $66.45 (recently breached)
- 50% at $65.28 (now acting as support)
- 38.2% at $64.10
The breakout above $66.45 suggests potential extension toward the 78.6% level at $68.20. This aligns with horizontal resistance at $68.05 and the 200-day MA, creating a critical confluence zone for trend validation.
Confluence & Conclusion
Multiple technical factors support Eversource’s near-term upside: bullish candlestick patterns, volume-backed breakout, MACD/KDJ momentum shifts, and clearance of the 61.8% Fibonacci level. Confluence exists at $68.00-$68.50 (200-day MA, prior swing high, upper Bollinger Band), where decisive rejection may trigger profit-taking. Conversely, sustained volume above the $66.45 Fibonacci level suggests a retest of yearly highs. Key watchpoints include RSI approaching overbought territory and MACD’s ability to cross its centerline. Divergence risks appear limited currently, though the 200-day MA resistance remains a significant barrier for bullish continuation.