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UnitedHealth Group (UNH) Pulling Back After Bullish Breakout; Buy the Dip?

We saw UnitedHealth Group $UNH in a bullish breakout earlier in July. However, price has been stalling around $265 and is now pulling back. With possible shift into a bullish trend, UNH is a candidate for a buying-the-dip strategy. 

UNH Daily Chart

(click to enlarge)

- Looking at the daily chart, we can see that price is pulling back after a bullish breakout.
- There was resistance in the 245-$255 area. Now, I think this area will become support.
- The daily RSI should also hold above 40 in this bullish scenario.
- Now, let's say price does hold above $250. In this scenario, price would have upside to $270 and then the $285-$300 area. 
- If a position is opened at $255 with a stop at $238 and a target at $300, we basically have a reward to risk of 2.6:1.

- I already have exposure in SQ, and I would add to that if price falls to $250. 
- A break below $240 would be a bad sign, and I would exit the additional position size if price fall  below $240. 
- But I would still give the $230-$235 area a chance for support for the original position, which I got in around $240. A break below $230 would then prompt me to exit that position.

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