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Benzinga
36 days

Top 2 Utilities Stocks That May Plunge This Quarter

1. Kenon Holdings displays an RSI of 73.1, indicating overbought conditions. 2. ALLETE's RSI reaches 78.3, suggesting potential price corrections. 3. Both stocks show significant recent price increases, attracting investor caution. 4. Utilities sector signals warn momentum investors of possible downturns. 5. ALLETE's new agreement may create positive long-term impacts for stakeholders.

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FAQ

Why Bearish?

The overbought conditions in both stocks may indicate upcoming price corrections. Historically, high RSI levels have preceded price declines.

How important is it?

The analysis of momentum indicators may drive broader investor sentiment affecting S&P 500 valuations.

Why Short Term?

Investors often react quickly to overbought signals, leading to immediate sell-offs. Previous trends show swift corrections typically follow RSI warnings.

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