- Centrica stock has been on a bull run throughout 2023 giving more than 64% just in 2023.
- The stock is currently trading at its 52-week high as well as at its 5-year high levels.
- The overall setup yet looks very strong and we may see a further upside to the stock.
Centrica stock plc is a British multinational energy and services company with its headquarters in Windsor, Berkshire. Its principal activity is the supply of electricity and gas to consumers in the United Kingdom and Ireland.
Looking at the financials for the company, we see a little inconsistency in the revenue and profit margin numbers. 2022 was highly negative in terms of profit but 2023 has covered up for most of the losses. Overall, the numbers look strong but one might find it difficult to trust them completely.
Technical analysis for the stock
A clear bull side domination can be seen throughout 2023 leading the stock to its 5-year high levels. Buyers look highly active and dominant in the stock currently and thus a further upside is yet expected. 1.6£ is the current 52-week high for the stock and the stock as of now also trades highly close to these levels.
In the upcoming days, if the stock breaches these levels, we can expect another bullish move till the next resistance at 1.84£ levels.
Revenue numbers for 2023 have been really great to date and if this remains the case going ahead too, then we can expect a good upside in the stock in the months to come.
1.37£ is a strong support for the stock and if we see some rejections going ahead, this is the level to wait for.
Technically speaking, the stock gave a strong bullish candle near its resistance on its previous closing which is a huge positive for the stock’s price going ahead. Indicators including 50 and 100 EMA suggest an upside going ahead.
On an hourly chart, we see a strong pullback in the last trading session in the stock. After the stock consolidated for 2 days, the last day gave a huge and healthy breakout with strong volumes taking the stock to its 52-week high levels.
If the stock shows a similar trend going ahead, a good buy entry can be made above 1.6£ levels with 1.84£ as the first target.
1.40£ remains as our first target and support in case of a downside. Till the stock trades above these levels, we can remain bullish.
Conclusion
The stock looks super strong as of now and looking at the current setup, a further up move can be seen in the upcoming days. The stock currently trades at its 5-year high levels and a further upside can be seen if similar volumes stand. Overall, the whole setup looks highly bullish as of now.
Important technical levels
Major support levels: 1.40£ followed by 1.21£.
Major resistance levels: 1.6£ followed by 1,84£.
Disclaimer
The views stated by the author or any person named in this article are purely for educational purposes and do not establish financial or investment advice. Investing or trading in instruments like stocks and crypto involves financial risk and should not be done without doing proper research and analysis.
