Top 2 Energy Stocks That Could Sink Your Portfolio This Quarter

The most overbought stocks in the energy sector presents an opportunity to go short on these overvalued companies.

The RSI is a momentum indicator, which compares a stock's strength on days when prices go up to its strength on days when prices go down. When compared to a stock's price action, it can give traders a better sense of how a stock may perform in the short term. An asset is typically considered overbought when the RSI is above 70.

Here’s the latest list of major overbought players in this sector.

Natural Gas Services Group, Inc. NGS

• Natural Gas Services posted upbeat earnings results for the second quarter. Stephen C. Taylor our Chairman and Interim President and Chief Executive Officer said, “Total revenue and rental revenue grew when compared to both sequential and year-over-year quarters, Sequentially, our sales revenues declined, but our strategically important rental revenues continued to grow at a brisk pace, reflecting our tenth consecutive quarter of rental revenue growth.” The company’s stock has a 52-week high of $15.39. .
• RSI Value: 71.72
• NGS Price Action: Shares of Natural Gas Services fell 6% to close at $13.68 on Monday.

Hallador Energy Company HNRG

• Hallador Energy posted better-than-expected results for the second quarter. Brent Bilsland, President and Chief Executive Officer, stated, “Record profitability and continued debt reduction has helped de-lever our balance sheet to less than 1.0 times EBITDA, which is a top priority for Hallador.” The company’s stock has a 52-week high of $14.61.
• RSI Value: 70.91
• HNRG Price Action: Shares of Hallador Energy fell 4.8% to close at $13.73 on Monday.

Read More: NetSol Technologies And 2 Other Stocks Under $2 Insiders Are Buying