Main to remember
- The Unitedhealth Group shares slipped during recent negotiations Thursday after falling on Wednesday in the midst of concerns about the potential medical reductions, and a report accusing the company of paying secret bonuses to nursing homes, adding to the pressures confronted with the besieged health insurance giant.
- The actions have rallied earlier this week, but have since carried out most of their earnings to form a fatty doji, a model of candlestick which indicates a potential optimistic inversion after the steep sale of the action.
- Investors must monitor the main levels of support on the UNITEDHEALTH graph around $ 292 and $ 249, while monitoring the resistance levels close to $ 325 and $ 365.
The actions of Unitedhealth Group (UNH) slipped during recent negotiations Thursday after falling on Wednesday in the midst of concerns concerning the potential medical reductions, and a report accusing the company of paying secret bonuses to nursing homes.
Adding to pressures faced with the besieged health insurance giant and other members of the sector, the centers for Medicare & Medicaid Services declared that it provided for an “significant expansion” of its audit efforts for the Medicare Plans.
Since he reached his April summit, United Actions have lost about half of their value, weighed down by multiple challenges, including an investigation by the Ministry of Justice on the health insurer for Medicare fraud, the abrupt departure of his CEO and the withdrawal by the company of his guides in the full year.
Below, we take a closer look at the weekly graph of United and use a technical analysis to identify key price levels after the recent volatility of action.
The tombstone doji emerges
Since the unitedhealth counter-temperature rally ended in early April, the title was less than five consecutive weeks, coinciding with the relative force of its index (RSI) sliding in a territory of occurrence.
The stock rallyed earlier this week, but has since made most of these earnings to form a serious-tone doji. While graphics observers generally associate it as a lowered candlestick motif, a doji is also to indicate a bullish reversal, especially if it emerges after a prolonged downward trend, as on the graph of Unitedhealth.
It should be noted that the volume of trading has jumped in the past two weeks, potentially the sale of capitulation, an event that can mark the end of a sharp decline.
Below, we identify several key levels of support and resistance on the graph of United which could be useful.
Key support levels to monitor
First of all, it is worth looking at the level of $ 292. Actions could find support in this area near last week’s fence, which is also aligned closely with a fork or a corresponding price action on the table between the end of 2019 and mid-2020.
A decisive fence below this key technical level could see the actions revisiting the lower support around $ 249. Good business hunters can look for long -term purchase opportunities in this place near a series of commercial activities on the graph from early 2018 to March 2020.
Important resistance levels to monitor
The first efforts to recover the stock could respect resistance at $ 325. Tactical traders seeking to capitalize on short -term price oscillations can place sales orders near the summit of this week, which is almost aligned with the peak of August 2020 and the diaphonge February 2021.
A more optimistic reversal can see the Unitedhealth shares go around $ 365. This area could provide resistance to general costs near two prominent peaks that were formed on the graph in November 2020 and January 2021 during a long -term trend in the stock.
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