UNH doji signaling a local low?NYSE:UNH dropped after reducing guidance in their earnings release, and then gapped down again today when NYSE:HUM missed estimates. These two stocks frequently respond to one another, creating fantastic trading opportunities if you have both on your watch list.
Todays candle is doji with relatively high volume, which is a decent reversal signal. Prior to today we can see 6 similar dojis during down trends for UNH since January 2022. 5 of them marked the local low. July 2023 was an exception that saw price fall by another 5% over 11 trading days before recovering.
UNHD trade ideas
The Top 3 Confirmation Signals for the Double Top Pattern
1 - Bearish Divergence
An indicator such as the RSI showing bearish divergence can confirm the weakening of the bullish trend.
2 - Volume Analysis
An increase in selling volume following the second peak reinforces the potential bearish reversal.
3 - Support Breakdown
A decisive breakdown below the support level confirms the validity of the double top pattern.
Watch this video to learn more
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UnitedHealth Group ($UNH) Shakes Investors with 4Q Earnings
UnitedHealth Group ( NYSE:UNH ) recently made headlines as it unveiled its fourth-quarter earnings, leaving investors with mixed sentiments. While the numbers beat estimates, concerns over rising medical costs and future pricing strategies have cast a shadow on the stock's performance. This article delves into the intricacies of NYSE:UNH 's financial report, analyzes the factors driving its market movement, and examines the outlook for the healthcare giant in the coming quarters.
Breaking Down the Numbers:
Analysts anticipated fourth-quarter earnings per share (EPS) of $5.98 for UNH, reflecting a 12% YoY increase. Surpassing expectations, UNH reported an impressive 15.4% growth in EPS, reaching $6.16 per share. Revenue also outpaced estimates, rising by 14.1% to $94.4 billion. However, the spotlight fell on the medical cost ratio, which climbed to 85 in Q4, exceeding analysts' projections. This ratio, representing the percentage of premiums spent on members' health needs, raised concerns about the sustainability of UNH's profit margins.
Factors Driving the Numbers:
NYSE:UNH attributed the elevated medical cost ratio to several ongoing factors, including the provision of outpatient care, primarily serving seniors, and the composition of its business mix. The company highlighted that coverage in government programs tended to incur higher costs compared to commercial coverage. Additionally, UNH acknowledged a $100 million unfavorable development in medical reserves during Q4, signaling potential challenges in managing future healthcare costs.
Outlook and Pricing Pressure:
Despite the strong performance, UNH maintained its full-year EPS guidance of $27.50 to $28, suggesting confidence in its ability to navigate challenges. However, analysts expressed concerns over the unexpected rise in the medical cost ratio, emphasizing the potential impact on pricing strategies in 2024. The company recognized a $100 million unfavorable development in medical reserves during Q4, marking the first negative revision since 4Q16. Analysts believe these details indicate heightened pressure on pricing in the coming years.
Stock Market Reaction:
Following the earnings release, UNH stock experienced a 3.65% decline to $520 in early Friday market action. The stock had previously shown signs of resilience by climbing 0.4% on Thursday, surpassing its 50-day and 10-week moving averages. Despite a consolidation period dating back to November 2022, UNH has struggled to gain significant momentum since April 2022. The relative strength line, tracking the stock's performance against the S&P 500 index, has been on a downward trend since November 2022.
Conclusion:
UnitedHealth Group's fourth-quarter earnings report has sparked a nuanced conversation among investors. While the company exceeded EPS and revenue expectations, concerns over the rising medical cost ratio and its impact on future pricing strategies have raised eyebrows. As UNH navigates these challenges, investors will closely monitor how the healthcare giant adapts its business model to maintain profitability in an evolving healthcare landscape.
UnitedHealth Pushes Highs Before EarningsUnitedHealth has consolidated for almost two years, and now some investors may expect its longer-term uptrend to continue.
The first pattern on todayโs chart is the basing pattern over the course of 2023. Notice the lower lows in the first half, followed by higher lows in the second half. That may suggest buyers have regained control since the summer.
Second, the 50-day simple moving average (SMA) had a โgolden crossโ above the 200-day SMA in September. That can also reflect bullishness over the longer term.
Third, UNH recently bounced at its peak from July. Did old resistance become new support?
Fourth, the health insurer has remained below its record weekly close of $551.24. But this week could bring a catalyst for a potential breakout because earnings are due on Friday morning. (Notice how the stock jumped following its last two quarterly reports.)
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UnitedHealth Group Inc. (UNH) Trading Idea for 28/12/2023Healthcare provider UnitedHealth Group Inc. is diversifying its business. Following the acquisition of the home health services company LHC Group for $5.4 billion earlier this year, the company also has plans to acquire another home healthcare company, Amedisys, for $3.3 billion. These strategic investments will help strengthen UnitedHealth Group's position in the rapidly expanding senior care market.
Therefore, today, we direct our attention to the UnitedHealth Group Inc. (NYSE: UNH) stock chart.
On the D1 timeframe, support has formed at 515.87, with resistance at 549.42. A relatively wide channel has developed within the descending trend. Considering the prevailing investor sentiment amid the US Federal Reserve's softened rhetoric, the trend for this asset may change upward if the quotes solidify above the 528.65 level.
On the H1 timeframe, if there is a rebound from the level of 515.87, the short-term target for the price increase can be set at 528.68, while in the medium term, it could hover around 554.09.
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UNITED HEALTH rebound on 1D MA50 leading to 610 long term.UNH held yesterday the 1D MA50 and is on a strong 1D candle rebound today. Despite this, the 1D technical outlook is on healthy bullish numbers (RSI = 64.198, MACD = 4.620, ADX = 38.658) as the underlying pattern is a Channel Up since the July 13th low. The stock's most common rise extension is inside the 15.32-15.96% range, which we've seen three times in the last eight months. Consequently we aim at the +15.32% minimum (TP = 610.00).
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UnitedHealth: Last hurdle ๐งAlthough UnitedHealth shares were able to establish the low of the turquoise wave 4 and rise steadily, they have not yet made it above the resistance level of $546.78. However, we expect this to happen next, leading to the high of the larger wave (A) in dark green. Short-term, we therefore expect further bullish potential, but after the top of this (A) wave, the trend should be clearly downwards again. In addition, there is a 35% probability for our alternative scenario, in which the alternative top of the old wave (A) would have already been deposited.
UnitedHealth Group (UNH): A Comprehensive Analysis with EstimateOverview of UnitedHealth Group Incorporated (UNH):
UnitedHealth Group Incorporated (UNH), a leading player in the healthcare sector, presents a compelling investment profile. This analysis integrates UNH's financials, operational strengths, market position, and estimated growth projections for the next three years.
Financial and Operational Strengths:
Consistent Growth: UNH has demonstrated steady growth in revenue and net income, underlining its operational efficiency.
Diversified Operations: With segments like UnitedHealthcare, Optum Health, Optum Insight, and Optum Rx, UNH offers a diversified revenue stream.
Strong Cash Flow: The company's robust cash flow from operations indicates solid financial health.
Strategic Investments: Investments in technology and acquisitions suggest potential for future expansion.
Stable Dividends: Regular dividend payouts and increasing EPS reflect a commitment to shareholder value.
Market Position and Trends:
Market Leadership: UNHโs scale and influence in the healthcare sector are significant.
Demographic Trends: An aging population is expected to drive demand for healthcare services.
Technological Advancements: Investment in digital healthcare solutions positions UNH for growth in a changing landscape.
Estimated Growth Projections:
Based on UNH's past performance and market dynamics, the following are the estimated growth percentages for the next three years:
Year 1 Estimated Growth: 8-12%
Year 2 Estimated Growth: 8-12% (cumulative on top of Year 1)
Year 3 Estimated Growth: 8-12% (further cumulative increase)
Investment Consideration:
UNH appears to be a stable investment with potential for steady growth. The company's financial strength, strategic positioning, and industry trends suggest it could be a suitable option for investors seeking stability and incremental growth in the healthcare sector.
Conclusion:
With its robust financial performance, strategic investments, and favorable market trends, UNH is positioned for sustained growth. While exact future performance may vary due to market volatility and external factors, UNH's past performance and current positioning offer a positive outlook.
Disclaimer:
This analysis is not financial advice. Investors should conduct their own research and consider personal financial goals before making investment decisions.
UNITED HEALTH Buy signal to complete the Cup pattern.United Health is on a green (1w) candle despite the general market sell-off.
This is technically due to the longer term pattern which is shaping up to be a Cup/ Arc, that remains to be seen if at the end of it will give a Handle.
Trading Plan:
1. Buy on the current market price.
Targets:
1. 553.00 (bottom of Resistance Zone 1 which was initially formed on April 11th 2022).
Tips:
1. The MACD (1d) is rising with a Bullish Cross last seen in July and despite being bullish over 0.00, it is still underpriced.
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Window ClosedOn Friday 13th a window had been opened that has been closed now. The window was an outbreak of the trading range since 6th October. The upside of the range serves as a support now. I expect an upward correction from here therefore. If the overall market will retrace upward we may even see a further rise.
Mind that United Health has behaved better than the market in the latest time.
UNH UnitedHealth Group Incorporated Options Ahead of EarningsIf you haven`t sold UNH`s Double Top here:
or reentered the Double Bottom:
Then analyzing the options chain and the chart patterns of UNH UnitedHealth Group Incorporated prior to the earnings report this week,
I would consider purchasing the 530usd strike price Calls with
an expiration date of 2023-10-13,
for a premium of approximately $6.40.
If these options prove to be profitable prior to the earnings release, I would sell at least half of them.
Looking forward to read your opinion about it.
UNH : Swing inside within the band and now BreakoutSwing Scalping Period : 14 April - 1 Sep 2023
- The share price swing up and down within the band, scalp the profit by selling 50% at the middle line and the rest breakeven or opposite side band
Trending up period : 1 Sep - 13 oct 2023
- Entry when price enter and closed inside the band of midas on 1sep, trend midas line turn to pink on 19sep, this is a typical jackpot type of entry.
(it will not happen each n every time, be RATIONAL.)
Let the profit run : 19 sep - 13 oct 2023
- we will not have full long position on this period, as a scalper/trend trader, we will already bagged some profits and enjoy the ride until the middle trend midas color change to white.
* A sharing on how to use band of midas as reference.
* None of the indicator works perfectly.
* Be honest and rational.
UNH's Prescription for Success: Exploring the Surge in UNH StockUNH NYSE Stock: Riding High on a Bullish Run
UnitedHealth Group's (UNH) stock on the NYSE is experiencing a remarkable bullish run today. The surge can be attributed to the company's impressive financial performance and its role in the healthcare sector's evolution. UNH's robust earnings, expanding healthcare services, and strategic acquisitions have garnered investor confidence. The growing demand for healthcare services, amplified by pandemic-driven awareness, fuels UNH's ascent. Technical indicators, including Relative Strength Index (RSI) and Moving Averages, confirm the bullish sentiment. As healthcare remains a critical focus globally, UNH is well-positioned to continue its bullish stride, making it a standout in today's market.
Earnings Journalโ SIMPLISTIC ANALYSIS </
Current Market Trend: long/buyers/positive.
Next Wave: buy wave to a new ceiling.
Next Swing: negative swing to support.
Trade Type: Touch & Go don't wait for a close.
โ EARNINGS AT A GLANCE </
Release Date: 10/13 BMO
Earnings Anticipations: positive surprise for EPS & Revenues.
Surprise-Confidence on a scale of 0-5: #4
EPS & Revenue 2-Year Trend: the trend in EPS is positive, the trend in Revenues is positive.
โ SYNOPSIS </
"I expect the market will buy the surprise if the earnings report hits the Wall Street consensus, or sell the surprise if the earnings report misses the Wall Street consensus."
โ BACKGROUND </
Research Depth: technical & fundamental glance only.
Unitedhealth Group broke above the Diamond rocket to $579Broadening Diamond shape has formed since 5 January.
It was an either or situation. Either it breaks up or down. Clearly, it's broken up giving a decent Risk to Reward ratio.
Now the momentum will most likely push the price up.
7>21>200
RSI>50
Target $579
UNITED HEALTH Mega bullish break-out. ATH next.United Health Group Incorporated (UNH) broke above the Lower Highs trend-line that has been holding since the October 31 2022 All Time High (ATH). That is a major bullish break-out signal alone but has one last short-term Resistance to overcome, Resistance 1 (516.00) which happens to be exactly on the 0.618 Fibonacci retracement level.
If that Resistance level breaks, we will buy and target Resistance 2 (530.65). Then even though the bullish leg might extend higher, we will only buy after a clear pull-back to the 0.618 Fibonacci and target the ATH (558.00) that happens to be just above Resistance 3.
The Lower Highs bullish break-out signal is strengthened by the fact that the RSI on the 1W time-frame is coming off a Bullish Divergence. On such long tern downtrends, this typically signifies a strong bullish reversal.
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UNH Stock Short Planning to sell UNH at 512.50 with a stop loss above 530 as there is a lot of resistance at that level and it will be a very good level to sell with a pattern on H4 and M15 will be overbought by then with a double top present. We are planning to sell this based on the divergence present and this being the third top.
UNH, Paramount Triangle-Formation, Breakout-Sights!Hello There!
Welcome to my new analysis about UNITED HEALTH GROUP - UNH on the weekly timeframe perspective. Although many stock market indices these dayยดs show a more bearish inclination there are also interesting gems within the market showing more bullish inclinations and setups to consider such as with UNH. The stock is quite established within the healthcare market and health insurance market being one of the top 20 stocks listed by market-cap giving a fundamental base for volume to hold steady or increase for the pair. Considering the technicals UNH is right now trading within this main steady uptrend in which it is still remaining without a bigger pullback. The interesting part now is that UNH is forming this delicate triangle formation right above the 100-EMA with the 100-EMA playing a major role as the support driver within this whole uptrend and the triangle forming above the 100-EMA. Now, once UNH has moved on to complete the wave-count within the triangle this will be the great setup for a final breakout and completion of the triangle to target the upper target-zones as seen in my chart. Once the breakout happened with the right confirmation as shown there is a high likelihood for the targets to be reached with high momentum as well.
Thank you everybody for watching. It will be great when you support my idea and we move on forward together.
"Faith is a passionate intuition."
VP
UNH long positionHi traders! Let's have a look to UNH stock.
It has been in a down trend for a while. We expect that the price meet up the horizontal support and then get a bounce to the downsloping resistance.
Our entry point is at the horisontal support and the target is at the downsloping resistance. Stoploss you can see on the chart.
Good luck!
UNH, Holding The Established Level, Possibility To Continue!Hello Traders Investors And Community, welcome to this analysis where we are looking at the selected single stock value UNH (UNITED HEALTHGROUP INC) the recent events within it, the current interesting price-formation and what the stock can provide in order for possible upcoming trading opportunities. As I pointed out already in previous analysis there are stocks which can move anticyclical to the main market as the demand is increasing due to the corona-crisis, one sector in this possible anticyclical market movers is the health sector where UNH is building an important part within health insurance as more and more people looking for improved healthier life and want to be secure in this case, therefore, this fact can play a big factor in the development of bullishness within this stock, besides that there are also some meaningful technical signals making an upcoming bullish continuation possible within this stock.
As you can examine when looking at my chart UNH is moving in this recently established uptrend channel where it bounced at strong support at the POINT OF CONTROL you can watch marked in red, this is the point where the stock showed the most volume overall, therefore, an important support/resistance level which confirmed as support in this case. Furthermore, we have this newly established all-time-high at 305.5 which has taken out the all-time-high formed before the corona-breakdowns seen this year, firstly this can also be a bull-trap but as the price is holding near that level this is showing up some significant bullishness in that level and a sign that the breakout could not have been a bull-trap. As the stock currently tests this level with some healthy volatile up moves this can be an indication for a possible continuation to the upside when UNH manages to climb above these levels as you can see it marked in my chart.
As you can watch in my chart there are some solid support levels providing an increasing possibility for the bullish case, once it is the 100-EMA which is marked in black, secondly, it is the POINT OF CONTROL which is building up very strong support in this level and next to the overall uptrend channel building altogether a coherent bullish support cluster here where the price will have a hard time going below when there comes bearish pressure into the surface. These factors making a bullish continuation to the upside more possible which will be confirmed when UNH takes out the current resistance it is testing and forms some faster-moving trend which finally breaks above the uptrend channel to confirm more bullishness in this case, remember that this has to be confirmed properly and before it does not happen there is still a possibility to show bearish which is quite marginal but it should not be ignored in either case.
Overall this stock is showing some serious bullish signals for a possible continuation to the upside making the movement at the all-time-high-conditions in this stock a stronger one than rest of the market where many stocks and some indices are still below the all-time-high established before the corona-breakdowns and therefore there is no confirmation of the bull-market-ending till now, therefore, it is important to look for stocks which showing up stronger than rest market when considering something on the long-side which I showed with other stocks of other sectors in the previous analysis were some holding strong bullish above the EMA structure and other below it with incoming bearish signs, in this case, it is important to not averagely evaluate the whole market in just one direction which can be fatal in such market phases showing up these days as there are stocks profiting of the crisis while another struggle to hold the status quo.
In this manner, thank you for watching, support for more market insight, have a great day, and all the best to you!
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Information provided is only educational and should not be used to take action in the markets.