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UNH

Entering UNH HereTrading Fam, I'm not going to go into a long exposé about how great the technicals are here because, truthfully, they are not great. In fact, there is relatively little that supports any kind of entry here other than the fact that this stock is extremely oversold. Really, the only reason I even considered an entry here is that my indicator has given me a buy. If you have been following me for any length of time, you know that this thing is knocking it out of the park in stocks. But to keep it safe, I am entering a 1:2 long rrr, shooting for $327 with a $217 SL. Let's see if my little indicator can keep its amazing win streak going even without a lot of technicals to support it. ✌️Stew
NYSE:UNHLong
by stewdamus
UNH a dead stock?After a 63% drop this year from its high, the stock has started seeing rebound. - UNH's trailing P/E is near 10–11×, while forward P/E is compressed to ~15× - The RSI had dropped to extreme oversold levels (~20) before rebounding above 39 - Despite current headwinds, UNH raised its dividend by 5%—marking 15 consecutive years of increases. Their current yield (~2.9%) is well above S&P 500 average. - Q2 operations generated strong cash flow ($7.2B) and delivered a 20.6% return on equity, signaling disciplined capital allocation. - High upside potential if earnings and sentiment recover. - according to the quarterly call, New metrics set clearer expectations and reflect internal control. This is a good stock to get into if you are looking at a 1-2 year horizon.
NYSE:UNHLong
by rajeshmakki
UNH : Stubborn is my First Name Hello friends, While stubbornness and determination are very different concepts, "stubborn" is more meaningful for events whose outcome we cannot predict. 1- First of all, hedge amount for this trade should be allocated to very safe and more stable financial instruments, at least 6-7 times the position size of this trade. 2- This idea is a continuation of my opinion regarding UNH. 3- I defend the following general view: This was a situation I carefully considered and formulated (holding UNH shares for the medium term). Therefore, a price drop will not change my opinion in any way. Increased costs are mentioned for some items, but their share of stock revenue is not stated. 4- Still valuable Risk/Reward Ratio 5 - Reasonable P/E Ratio and financials Let's not forget item 1, because it will be necessary in three situations: a- A major financial collapse in the stock b- A global economic crisis. c- Even if these are not the case, a gradual buyback (total x amount pos size) at 215 and 200 Parameters (for People who dont want to hold) : Risk/Reward Ratio : 3.00 Stop-Loss : 161.54 Take-Profit Point : 490.00 Best Regards.
NYSE:UNHLong
by Noldo
United Health - The perfect time to buy!⛑️United Health ( NYSE:UNH ) finished its massive drop: 🔎Analysis summary: Over the past couple of months, United Health managed to drop an incredible -60%. This drop however was not unexpected and just the result of a retest of a massive resistance trendline. Considering the confluence of support though, a bullish reversal will emerge quite soon. 📝Levels to watch: $250 SwingTraderPhil SwingTrading.Simplified. | Investing.Simplified. | #LONGTERMVISION
NYSE:UNHLong
by basictradingtv
37
$UNH This Behemoth Is Not Going Anywhere and I am Loading Up United HealthGroup is extremely Appealing to me at these valuations. Health Insurance Is something all people need. I Don't See Medicaid/Medicare Cuts affecting NYSE:UNH To the extent People believe it will. Legislation can be temporary, This Company Produces 20B Plus in Free Cashflow Every single Year Let alone 420B in Revenue its a behemoth controlling more than 30% of American Health Insurance in terms of Market Share. The United States could never afford to socialize Healthcare the way Europe Or Canada does. Social Security/Health/Medicare already eat up 49% Of GDP. The United States is almost dependent on companies Like United Healthgroup to provide its services. This Could almost Give Companies like NYSE:UNH an opportunity to offer plans to gain more customers who before had Government assisted health insurance. While more downside is almost Guaranteed I see nothing more then even better discounts for the long-term. This is not a question of If UNH Can recover its only a question of how long will it take. We are back at Prices Pre Covid-19. --------------------- Possible Reasons for the Major Drops: The Big Beautiful Bill DOJ Lawsuits Rising Medicare Costs Rising Expenses on Insurers Swapped CEO Twice Swapped CFO Once Lawsuits Scandals --------------------- NYSE:UNH Fundamentals: Price To Sales: 0.5x Price To Earnings:10.3x Price to Book: 2.2x --------------------- Balance Sheet: Cash: US$32.02b Debt: US$104.78b Total Liabilities: US$203.79b Total Assets: US$308.57b --------------------- Management Efficiency: ROE: 21.1% ROCE: 15.5% ROA: 8.2% --------------------- Dividend Safety: Dividend Yield: 3.7% Payout Ratio: 37% of Profits --------------------- I recently Began Acquiring Shares around the $260 Mark and plan on continuing to load up for the long-term. --------------------- This is not financial Advice, Just what I am doing on my own as an investor. I do not give Buy/Sell/Hold Signals.
NYSE:UNHLong
by BullishCanadianInvestor
$UNH BEARISH SETUP – WEEK OF AUG 1 🔻 **\ NYSE:UNH BEARISH SETUP – WEEK OF AUG 1** 🔻 **UnitedHealth Group (UNH)** is showing classic breakdown signs. Here’s what the data says: 📉 **RSI Breakdown** • Daily RSI: **20.6** • Weekly RSI: **19.3** → Deeply oversold + no bounce = 🚨 momentum flush risk 📊 **Volume Surge** • Weekly Volume: **145M** (1.9x avg) → Heavy **institutional selling**, NOT dip buying 🧠 **Options Insight** • Call/Put Ratio: **1.17** = Slight bullish noise • But... Expiry Gamma is 🚨HIGH = IV Crush incoming • VIX: **20.7** = Volatility tailwinds intact 💣 **TRADE IDEA (PUT PLAY)** • Direction: **BUY PUTS** • Strike: **\$230** • Expiry: **08/08/2025** • Entry: **Monday Open** • Target Premium: **\$0.10** • 🎯 PT: \$0.30 | 🛑 SL: \$0.03 • Confidence: **70%** 📌 **Narrative**: Oversold + High Volume Dump + No support bounce = Perfect storm for continuation dump. This is a high gamma play, time-sensitive, low-cost lotto setup. Risk small. Aim big. --- 💥 **Watchlist Tag**: ` NYSE:UNH AMEX:SPY AMEX:XLV ` 🧠 **Strategy Tag**: #OversoldFlush #PutPlay #0DTETrap 🚀 Follow for more weekly earnings & options breakdowns!
NYSE:UNHShort
by quantsignals
1
UNH : Are Bad Days Over ? (Cautious)UNH shares have moved above the 50-period moving average but are trading below the 200-period moving average. For now, since the 200-period moving average is very high, a small trade can be tried by keeping the stop-loss level a little tight. A few weak movements may pull the average down and the price may break the average. Therefore, small position sizes are ideal. NOTE : If we can maintain persistence on 376(Which will take a few days), then we will look at the other gaps. Risk/Reward Ratio : 2.39 Stop-Loss : 274.99 Take- Profit Level : 376.38 Regards.
NYSE:UNHLong
by Noldo
UnitedHealth (UNH) Shares Plunge Following Earnings ReportUnitedHealth (UNH) Shares Plunge Following Earnings Report Yesterday, prior to the opening of the main trading session, UnitedHealth released its quarterly results along with forward guidance. As a result, UNH shares dropped by over 7%, signalling deep disappointment among market participants. According to media reports: → Earnings per share came in at $4.08, missing analysts’ expectations of $4.48. → Revenue guidance was set at $445.5–448 billion, falling short of the anticipated $449.07 billion. → Concerns were further fuelled by rising costs and declining profitability, which the company attributed to the continued impact of Medicare funding cuts. Consequently, the UNH share price dropped to its lowest level of 2025, last seen on 15 May. Technical Analysis of UNH Stock Chart In our end-of-May analysis, we updated the descending channel on the UNH stock chart and highlighted that following the recovery from the May low (marked by arrow 1), sellers could regain control. Since then: → Throughout June, the share price exhibited signs of supply-demand equilibrium around the psychological $300 level. → However, after an unsuccessful rally that formed peak A (which now resembles a bull trap), the balance shifted in favour of the bears. The price began to slide lower along the median line of the descending channel (illustrated by arrow 2). This pattern was a red flag, particularly against the backdrop of a broadly rising equity market since the beginning of summer. Even if the bulls had hope, yesterday's candle could have completely extinguished it: → The session opened with a wide bearish gap. → During the day, bulls attempted a recovery, but failed — the candlestick closed at the daily low, leaving a long upper wick, a classic sign of selling pressure. In this context, we could assume that: → Bears may seek to extend their advantage and test the year’s low; → The bearish gap area (highlighted in purple), reinforced by the descending channel’s median line, could act as resistance during any potential recovery. At the same time, the $250 psychological level appears to be a strong support zone. This is backed by the 15 May bullish pin bar formed on record trading volumes — a potential sign of institutional interest in accumulating shares of this healthcare giant in anticipation of a long-term recovery. This article represents the opinion of the Companies operating under the FXOpen brand only. It is not to be construed as an offer, solicitation, or recommendation with respect to products and services provided by the Companies operating under the FXOpen brand, nor is it to be considered financial advice.
NYSE:UNH
by FXOpen
UNH Earnings Lotto Setup** (2025-07-28) 📊 **UNH Earnings Lotto Setup** (2025-07-28) 🎯 **Targeting a 2x return on post-earnings upside move** --- ### 💡 Trade Thesis: **UnitedHealth (UNH)** is primed for a potential bounce on earnings: * ✅ **Revenue Growth**: +9.8% YoY * 🔥 **EPS Beat Rate**: 88% over last 8 quarters * ⚠️ Margin compression risk from increased utilization * 🧠 **Analyst Upgrades** trending positive * 📉 RSI = **30.06** → Oversold territory --- ### 🔎 Options Flow & Technicals * 🧲 Max Pain: **\$290** * 🟢 Bullish call OI stacking at **\$285** * ⚖️ IV Rank: **0.75** → Still has juice * 🔻 Trading below 20D/50D MAs → Room for reversal --- ### 💰 Trade Setup ```json { "Instrument": "UNH", "Direction": "Call (Long)", "Strike": "$285", "Entry Price": "$10.30", "Profit Target": "$20.60 (2x)", "Stop Loss": "$5.15 (50%)", "Size": "1 contract", "Expiry": "2025-08-01", "Entry Timing": "Pre-Earnings Close (July 28)", "Earnings Date": "2025-07-29 BMO", "Expected Move": "±5%", "Confidence": "70%" } ``` --- ### ⚖️ Risk/Reward * Max Risk: 💸 \$1,030 * Max Gain: 🚀 \$1,030 * R/R Ratio: **1:2** * Lotto-style with tight SL post-ER --- ### 🧭 Execution Plan * 📅 Buy before close on **July 28** * ⏰ Close same-day post ER **if target or SL hits** * ❌ Exit manually if theta crush hits hard --- ### 🗣️ Final Note: > “Oversold + Strong fundamentals + Positive consensus = Earnings bounce in the making.” --- 📌 Tag your UNH trades 💬 Drop your lotto setups ❤️ Like & repost if you're playing UNH this week! \#UNH #EarningsPlay #OptionsTrading #TradingView #UNHEarnings #LottoTrade #CallOptions #HealthcareStocks #SwingTrade #RSI #IVRank #MaxPain
NYSE:UNHLong
by quantsignals
1
My UNH Thesis: Betting on a Healthcare Giant's Come BackThe healthcare sector has been in decline, which creates interesting opportunities. I recently talked about a few pharma plays - Eli Lilly, Novo Nordisk, and Pfizer. Here's why I'm investing in NYSE:UNH : UnitedHealth Group (UNH) has tanked ~50% in the past year, but the July 29 (VERY SOON) earnings could flip the script. As a historically dominant player, UNH is now undervalued amid sector weakness, offering massive upside if regulatory fears ease. Here's my full bull case. 👇 FUNDAMENTAL ANALYSIS Why the Sell-Off? A Perfect Storm of Bad News UNH crushed the market for 15 straight years (2009-2023) with positive returns, predictable EPS growth, and 134% gains over the last decade. But 2024 brought chaos: Feb: Massive cyber attack caused a one-time EPS hit (non-recurring). Ongoing: DOJ antitrust probe, criminal fraud investigation, rising Medicare costs, and Optum losses. April: Disastrous Q1 earnings miss + lowered guidance. Leadership drama: CEO death. This erased gains (down 7% over 5 years), amplified by healthcare sector outflows—the biggest since 2020. But is this overblown? Signs point to yes. The markets almost always overreact to bad news. Bullish Signals: Insiders Betting Big The tide is turning: Insider Buying Boom: $32M+ in 2024 (vs. $6.6M in 2019), including new CEO/CFO—highest in 15 years. Congress Buying: Q2 2024 saw net purchases for the first time in 5 years (vs. historical selling). DOJ Shift: Probe refocusing on pharmacy benefits (PBM) unit, dropping acquisition/monopoly scrutiny—implies no major findings. Great news! Sector Tailwinds: Healthcare is one of 3 S&P sectors below historical valuations. Super investors (usually tech-obsessed) are piling in, despite the sector's -10% YTD vs. S&P's +13%. Plus, UNH's dividend yield is at a record ~3% (vs. 1.5% avg), with 16%+ historical growth and 100%+ free cash flow conversion. Rare combo of yield + growth! Valuation: Screaming Buy? UNH trades at PE ~11.9 (vs. 10-year avg 23)—a steal. Analysts project 16.7% EPS CAGR through 2029. Conservative Scenario: 16.5% EPS growth + PE to 16.5 = $780/share by 2030 (173% total return, 18% CAGR ex-dividends). Optimistic: PE back to 23 = $1,084/share (280% return). Models confirm: DCF (8% FCF growth): ~$484/share (70% upside). DDM (7% div growth): ~$607/share (112% upside). Blended Fair Value: ~$545/share (75-90% upside from ~$300). Buy below $436 for 20% safety margin. Still, there is fear of DOJ uncertainty—investors hate unpredictability and that's why the stock is so low. Key Catalyst: July 29 Earnings This could be UNH's "most important report ever." Watch for: Regulatory/legal updates (DOJ progress). Full-year guidance revisions. Metrics like medical loss ratio and PBM performance. Positive news = potential rocket 🚀. Expectations are low (20 bearish EPS revisions vs. 0 bullish), so a beat could spark volatility... upward. Risks: Not Without Bumps Regulatory escalation (e.g., PBM issues) could tank it further. Short-term headwinds: Medicare costs, sector selling. Mitigants: DOJ de-risking, strong FCF buffer, insider confidence. Enter cautiously—size positions small. TECHNICAL ANALYSIS I also did a little technical analysis: UNH price is at a resistance level My EVaR indicator tells me we are in a low-risk area RSI says the stock is oversold I added the different price targets for better visualization THE PLAN My plan: Later today, I will allocate 1% to 1.5% of my portfolio to the stock. If it drops, I will continue to DCA. The stock is already really beaten down, and I think a company this large cannot drop much more. Quick note: I'm just sharing my journey - not financial advice! 😊
NYSE:UNHLong
by HenriqueCentieiro
32
UNH WEEKLY TRADE IDEA (07/27/2025) **🚨 UNH WEEKLY TRADE IDEA (07/27/2025) 🚨** **Trend: Bearish Bias with Contrarian Options Flow** 🟥 **Technical Breakdown** + 🟩 **Bullish Flow Confusion** = Strategic Put Play --- 📊 **Key Technicals** 🧭 **Daily RSI:** 37.0 ⬇️ 📉 **Weekly RSI:** 27.9 ⬇️ = *EXTREME BEARISH MOMENTUM* 📊 **Volume:** 1.2x prior week = *Institutional activity confirmed* --- 📈 **Options Flow Snapshot** 🟢 **Call/Put Ratio:** 1.64 → Normally bullish… ❗BUT in a falling market = **Contrarian noise** (per Gemini & Claude) --- 🔍 **Model Consensus Recap** ✅ All 5 models confirm BEARISH MOMENTUM 📉 Volume confirms downward pressure ❗ Disagreement only on *interpretation* of bullish call flow 📌 **Conclusion:** Put trade favored, but watch for surprise reversals --- 💥 **RECOMMENDED TRADE SETUP (Confidence: 65%)** 🎯 **Play:** Buy-to-Open PUT * **Strike**: \$270 * **Expiry**: Aug 1, 2025 * **Entry Price**: \~6.10 * **Profit Target**: \$12.00 (🔁 2x Gain) * **Stop Loss**: \$3.00 (🔻\~50%) 📆 **Entry Timing:** Market Open Monday 📦 **Size:** 1 Contract --- ⚠️ **Key Risks to Monitor:** * 📈 If UNH moves above \$290 (Max Pain), bearish thesis invalidates * ⚡ Gamma risk increases mid-week — *manage actively!* * 📉 Unexpected volume dry-up could stall momentum --- 📌 **JSON FORMAT TRADE DETAILS (For Scripts/Alerts):** ```json { "instrument": "UNH", "direction": "put", "strike": 270.0, "expiry": "2025-08-01", "confidence": 0.65, "profit_target": 12.00, "stop_loss": 3.00, "size": 1, "entry_price": 6.10, "entry_timing": "open", "signal_publish_time": "2025-07-27 20:30:45 EDT" } ``` --- 💡 Summary: Bearish momentum confirmed across models. Flow confusion ≠ fade setup — it’s a **calculated put play**. Trade smart, stay sharp. 🎯 Watch \$290. 💬 Tag fellow traders → \ NYSE:UNH bears unite! \#UNH #OptionsTrading #BearishSetup #UnusualOptions #GammaRisk #MaxPain #TradingView #StockMarket
NYSE:UNHShort
by quantsignals
1
UNH Weekly Options Play – Bearish Setup (7/21/2025) 📉 UNH Weekly Options Play – Bearish Setup (7/21/2025) RSI Breakdown 📊 | Institutional Hedging? 🤔 | Bearish Trend Confirmed 🚨 ⸻ 🧠 Multi-Model Analysis Summary 🔻 RSI Trends: Falling daily + weekly RSI → strong bearish momentum 📉 Volume: Consistently negative across models → confirms selling pressure 🧠 Options Flow: High Call/Put ratio (3.01) — debated as bullish hedge vs short cover 📌 Outcome: Consensus bearish, with minor short-term upside risk due to calls ⸻ 🎯 TRADE IDEA – UNH $280 PUT 💥 Direction: Bearish 🧾 Strike: $280 Put 📆 Expiry: July 25, 2025 💵 Entry: $2.35 🛑 Stop: $1.18 (≈50% loss cap) 🎯 Target: $4.70 (≈100% gain) 📈 Confidence: 70% ⏰ Entry Time: Market Open ⸻ 📎 Why Take This Trade? ✅ RSI + volume = bearish momentum confirmed ✅ Volatility is favorable for option premium expansion ❗️ Watch for gamma near expiry & unexpected institutional sentiment shifts ⸻ 📊 TRADE_DETAILS JSON { "instrument": "UNH", "direction": "put", "strike": 280.0, "expiry": "2025-07-25", "confidence": 0.70, "profit_target": 4.70, "stop_loss": 1.18, "size": 1, "entry_price": 2.35, "entry_timing": "open", "signal_publish_time": "2025-07-21 12:49:28 EDT" } ⸻ 🔥 #UNH #OptionsTrade #BearishSetup #WeeklyTrade #PutOptions #InstitutionalFlow #MarketMomentum #VolatilityPlay
NYSE:UNHShort
by quantsignals
1
$UNH – Macro Outlook UpdateBack in April, I suggested the long-term uptrend from 2008 may have topped, shifting into a multi-year correction toward the 260–150 support zone. The decline unfolded faster than expected, with news-driven selling hitting the upper edge of that macro support — followed by a strong rebound. Apr mind www.tradingview.com Currently, price is consolidating constructively. As long as 282 holds, I favor a continuation higher into the 360–430 resistance zone where we’ll reassess the broader structure. Daily chart Macro chart Thank you for your attention and I wish you successful trading and investing decisions!
NYSE:UNHLong
by artemfedorov
5
UNH How Far Down Are We Going $32 ? Based on the current class action lawsuit sentiment is negative and if it continues we can see levels of 258 being hit again. However if we break that level down then 163-150 level can possibly get hit followed by the 32-49 dollar range. However despite all the negative news which does affect the market, if for whatever reasons we can break the high of 326 be prepared for a run up to 535 low probability but it is possible. Trade Smarter Live Better Kris/ Mindbloome Exchange
NYSE:UNHShort
by Mindbloome-Trading
9
UNH Weekly Options Setup – Short-Term Pullback Risk (2025-06-11)📉 UNH Weekly Options Setup – Short-Term Pullback Risk (2025-06-11) Ticker: NYSE:UNH (UnitedHealth Group) Bias: Short-Term Bearish Setup Timing: Market Open | Confidence: 70% 🔍 AI Model Consensus Overview 📍 Price: ~$310.56 📈 Momentum: Strong intraday bullish momentum — price above 10, 50, and 200 EMAs 📉 RSI: 5-min RSI ~79 → overbought 🎯 Max Pain: $300 → potential gravitational pull 🧠 Sentiment Split: Bullish Models: Grok/xAI & DeepSeek → Focus on short-term momentum and trend continuation Bearish Models: Llama/Meta & Gemini/Google → Emphasize overbought conditions & option pressure to steer price toward $300 ⚖️ Strategic Summary All models agree that: • UNH is technically strong, but very overbought • Max pain at $300 presents a downside magnet • Both call and put options have tradable liquidity Disagreement: • Bulls see trend continuation • Bears expect short-term correction before any continuation ✅ Recommended Trade 🎯 Direction: PUT 🛒 Strike: $300 📅 Expiry: 2025-06-13 💵 Entry Price: $0.60 🎯 Profit Target: $0.90 (+50%) 🛑 Stop Loss: $0.30 (–50%) 📈 Confidence: 70% ⏰ Entry Timing: Market open ⚠️ Risk Factors • Continuation of bullish breakout can kill put value fast • Sharp intraday whipsaws common near RSI extremes • Price staying pinned above $310 would weaken max pain magnet effect • Use tight stop-losses and limited position sizing 📣 Do you fade overbought RSI or ride momentum on NYSE:UNH ? 💬 Drop your setup 👇 & follow for more AI-backed trade ideas.
NYSE:UNHShort
by quantsignals
9
UNH Weekly Trade Summary — Bearish Setup into June 6 Expiry📉 UNH Weekly Trade Summary — Bearish Setup into June 6 Expiry 📊 AI Model Snapshot Model Bias Strike Direction Premium PT / SL Confidence Grok Moderately Bullish $317.5 CALL $0.71 +50% / −20% 65% Claude Moderately Bullish $305 CALL $3.15 +100–150% / −40% 72% Llama Moderately Bearish $287.5 PUT $0.80 +50% / −50% 70% Gemini Moderately Bearish $290 PUT $0.95 +50% / −50% 65% DeepSeek Moderately Bearish $287.5 PUT $0.80 +50% / −50% 65% ✅ Consensus Summary 🟥 3 of 5 models lean bearish based on price below EMAs, weak MACD, and bearish news. 🧲 Max Pain at $305 could cause a bounce but unlikely to reverse trend. 📰 Piper Sandler’s target cut adds downside weight. 💡 Recommended Trade 🔻 Strategy: Weekly Naked Put Play 📌 Ticker: UNH 🎯 Strike: $287.50 PUT 💵 Entry Price: $0.80 🎯 Profit Target: $1.20 (+50%) 🛑 Stop Loss: $0.40 (−50%) 📏 Size: 1 contract 📅 Expiry: 2025-06-06 ⏰ Entry Timing: Market Open 📈 Confidence: 65% ⚠️ Risks to Monitor 🔄 Short-covering bounce could push UNH toward $305 and reduce put premiums fast. ⏳ Time decay (theta) speeds up mid-week — early action preferred. 🔍 Support zone around $300 – if it holds, consider cutting early. 📉 Broad market relief rally could neutralize this bearish edge.
NYSE:UNHShort
by quantsignals
1
$UNH contrarian idea ..Hello, this seems to be the "BUY THE DIP!" name definitely on the retail side. A guy once told me, if everyone is talking about getting into something, buying something, it might be a good time to sell and get out of that something. Example: I have been buying Bitcoin for five years, the price has risen and now everybody is talking about Bitcoin, that might be a clear indicator to sell some of that position and take profits; contrarian. So, something is telling me this name isn't ready to just ride to the upside like everybody is imagining. A big zone is down around $200, a 7 year demand. This name is in turmoil, randomness happens. I believe the name would have kept going down if the insider buy did not come in and bring some momentum. I can see this name retracing back to $275 and below. Will be interesting to see. On watch is $275p 6/20. WSL
NYSE:UNHShort
by wallstreetloser001
UNH: Why I Believe This Is a Dead Cat Bounce(Late posting)We’ve seen a quite the abounce in the market as of lately, but I believe it’s not a real recovery. To me, this looks like a classic dead cat bounce; a quick move up that happens during a downtrend before prices drop again. I’ll explain why I think this is the case, kind of a simple one. First of all, the grand picture in the economy still looks fairly negative, especially respecting the TRUMP TARIFF new. Inflation hasn’t fully gone away, interest rates are still high, and consumer confidence is weak. There’s no major change in the news or the fundamentals that would support a strong comeback. It feels like people are just hoping things will improve, but the facts don’t really support that yet. Second, the volume on this bounce has been low. In trading, volume tells you how strong a move is. If the price goes up but not many people are trading, it usually means there’s not much real buying happening. This bounce seems to be driven more by short sellers covering their positions, not by confident investors jumping in. Third, we’re hitting key resistance levels—areas where the price dropped before—and we’re starting to see signs of rejection again. These levels are often hard to break through unless the market has strong momentum, and right now it doesn’t look like that’s the case. Fourth, if you look at indicators like the RSI and MACD, they show that the price is already overbought. That means the recent move up may have gone too far, too fast. These kinds of readings usually lead to a pullback, especially when the bigger trend is still down. Finally, the overall structure of the chart hasn’t changed. We’re still making lower highs and lower lows, which is what a downtrend looks like. Just because we’ve had a few green candles doesn’t mean the trend has reversed. Until we see the market start building a base and making new highs with strong support, I don’t think this bounce will last. I n my opinion, this is one of those moments where people might get too excited too quickly. A lot of traders jump in thinking the bottom is in, only to get caught when the price turns back down. That’s why I’m staying cautious and watching for signs that the bounce is failing. I could be wrong, but right now, this feels more like a trap than a turning point.
NYSE:UNHShort
by ThePlotThickens
7