UnitedHealth Group Incorporated (UNH), which beat earnings-per-share (EPS) estimates when it reported results on July 15. The stock stayed below its monthly risky level at $311.27 but remained above its annual pivot at $297.29. The managed health care giant and component of the Dow Jones Industrial average extended its winning streak to beat EPS estimates of 27 consecutive quarters.
The stock closed Tuesday, July 21, to $305.11, up 3.8% year to date, and just 2.9% below its intraday high of $314.28 define the 8 June. UnitedHealth is in the bull market territory to 62.5% above its March 23rd low of $187.72. The stock has a P/E ratio of 16.30 and a dividend yield of 1.65%, according to the trends.
Consumers to research insurance-health UnitedHealth should be aware that individual coverage for people under 65 years of age will probably be written in three-month intervals. Premiums are adjusted based on your claims history. A major focus of the UnitedHealth is providing additional insurance for patients covered by health insurance. This includes prescription drug coverage. To benefit from these plans, you must also be a member of AARP.
The daily chart for UnitedHealth
The daily chart for UnitedHealth shows the formation of a golden cross on Nov. 29, when the 50-day simple moving average rose above the 200-day simple moving average to indicate that higher prices will follow. This follow-up of the stock at its Feb. 19 high of $306.71.
UnitedHealth stock gapped below its annual pivot at $297.29 on Feb. 24. The stock has broken below its 200-day simple moving average on March 13, plunging its March 23rd low of $187.72. The V bottom has seen a return to the 200-day simple moving average on the 7 April. The stock is returned to its annual pivot at $297.29 on April 16. This level has been a strong magnet between the 16 April and 14 July, as it has been crossed several times.
After UnitedHealth has tested all-time intraday high of $314.28 on June 8, the stock tumbled to an annual test of the pivot at $297.29 June 15. This has led to the post-earnings high of $310.97 set on July 17. This is below the monthly risky level is $311.27. The stock is above its 50-day and 200-day simple moving averages at $296.80, and $277.52, respectively.
The weekly chart for UnitedHealth
The weekly chart for UnitedHealth is neutral, above its five-week modified moving average of $296.24. The stock is also above its 200-week simple moving average, or the return to the average, at $231.11.
The 12 x 3 x 3 weekly slow stochastic reading should slide to 67.01 this week, down from 68.31 on July 17. During the week of Jan. 17, this reading has been above 90.00, put the broth in a “swell parabolic bubble” of the training. Bubbles always pop, and because of this, pushing the stock of the March 23 low.
Trading strategy: Buy UnitedHealth stock on the weakness of its quarterly value level at $278.44. Reduce the holdings on the strength of its monthly risky level is $311.27. The annual pivot at $297.29 remains a magnet.
How to use my value levels and risky levels: The share price closing price on Dec. 31, 2019, has been an entry to my proprietary analytics. The annual levels of to remain on the charts. The level of the month of July was based on the last nine-month period firm, the third quarter was based on the last nine quarterly closes, and the second half by 2020 the level was based on the last nine to the half-year closes. New weekly levels are calculated following the end of each week.
My theory is that nine years of volatility between the farm are to assume all possible bullish or bearish event for the stock are taken into account. To capture the volatility of stock prices, investors should purchase shares of the weakness of a plan, the value and reduce the holdings of the strength to a risky level. A pivot is a level value of the risk level that was violated in its time horizon. Hubs act as magnets that have a high likelihood to be re-tested prior to their time horizon expires.
How to use 12 x 3 x 3 weekly slow stochastic readings: My choice of using 12 x 3 x 3 weekly slow stochastic readings has been based on the backtesting of many methods of reading the stock prices of the momentum with the objective of finding the combination that resulted in the least number of false signals. I’ve been following the stock market crash of 1987, so I was happy with the results of more than 30 years.
The stochastic reading covers the duration of 12 weeks, high, low, and close for the stock. There is a row of calculation of the difference between the highest and the lowest compared to the farm. These levels are modified for a fast reading and slow reading, and I found that the slow playback will work best.
The stochastic reading scales between 00.00 and 100.00 with readings above 80.00 considered as overbought and readings below 20.00 regarded as oversold. A reading above 90.00 is considered to be a “swell parabolic bubble” of the training, which is usually followed by a decline of 10% to 20% over the next three to five months. A reading below 10.00 is considered to be “too cheap to ignore,” which is usually followed by a gain of 10% to 20% over the next three to five months.
Disclosure: The author has no positions in any stocks mentioned, and no plans to initiate any positions within the next 72 hours.