National Grid stock: robust operating profit and technical strength fuel continued uptrend

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National Grid gains 0.94% to GBX 1,184.50

Highlights

National Grid's board approved an interim dividend of 16.35 pence per ordinary share, payable January 13, underscoring continued shareholder returns.
National Grid reported an underlying operating profit of £2.29 billion for the six months ended September 30, surpassing consensus expectations.
The company reaffirmed its medium-term underlying earnings growth target and will release full-year results on May 14.

Dividend approval and profit beat sustain positive sentiment amid low volumes

National Grid's board has approved an interim dividend of 16.35 pence per ordinary share to be paid on January 13, reflecting ongoing commitment to shareholder returns. The company recently reported an underlying operating profit of £2.29 billion for the six months ended September 30, surpassing consensus and reaffirming its medium-term underlying earnings growth target. Upcoming events include the scheduled release of full-year results on May 14, while trading volume remains below the 50-day average despite recent developments.

Overbought signals build as buyers dominate above multi-timeframe supports

The current price of NG at GBX 1,184.50 stands well above the MA-20 (GBX 1,139.48), MA-50 (GBX 1,146.23), and MA-200 (GBX 1,077.22), confirming strong bullish momentum for short-, medium-, and long-term trends. Nearest dynamic support is at the Ichimoku Kijun line (GBX 1,146.61), while further resistance may emerge near MA-50 or the next round level above the current price. Momentum signals on the daily chart are bullish: MACD indicates buying strength, though ADX remains neutral, suggesting an uptrend but not an overly strong one. RSI and CCI are both approaching or within overbought territory, matched by overbought readings on Stochastic RSI, while Bull/Bear Power shows ongoing buyer dominance. The Awesome Oscillator also supports the upward bias. Today, the price rose GBX 11.00 (0.94%) with no significant opening gap from yesterday's close, and current levels sit near the day's high, signaling moderate volatility and clear strength toward intraday highs. Oscillator overextension diverges with continued upward momentum, warning that although buyers remain firmly in control, short-term correction risk is rising.

High upside odds persist as bullish trend tempers correction risk

For the coming week, the projected price range is GBX 1,155.50 to GBX 1,185.35, adjusted for a typical volatility band relative to current levels. The probability of further price increases is very high (more than 80%), while a reversal appears less likely. The baseline scenario expects prices to fluctuate within this corridor as current momentum gradually settles. A bullish breakout above GBX 1,185.35 would open the way for further gains, while a bearish move below the Ichimoku Kijun at GBX 1,146.61 could trigger profit-taking, though the overall trend remains upward unless critical supports are broken.

Anton Kharitonov, expert at Traders Union, notes that National Grid demonstrates solid bullish momentum above all major moving averages but also sees caution in declining trading volume and overbought daily signals. He believes the company’s strong financials and continued dividend support reinforce its uptrend, yet technical oscillators warn of near-term correction risk. The analyst remains wary of the overextension, watching for a break below GBX 1,146.61 as a sign for possible profit-taking. "My tactical approach remains defensive — unless GBX 1,146.61 is lost, I see no strong reason to shift away from a neutral stance in the short term."

Previously it was reported that National Grid plc is exhibiting strong bullish momentum, trading above all key moving averages and supported by positive MACD readings and overbought oscillators. The shares are likely to consolidate within a defined range, with further upside probable if resistance near GBX 1,190 is decisively breached, while dynamic support remains at the MA-50 and Ichimoku Kijun around GBX 1,140.

Source of Data: NG Price Analysis by TU

The analysis is based on a proprietary model combining technical, on-chain, and expert data. Not investment advice. See methodology

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