CNC trade ideas
Perhaps to HastyI had expected the 5 times tested botom to hold. However the dayly momentum is still a bit to high. Well, the month has not yet ended and it is not clear yet whether the bottom will be confirmed another time.
Perhaps I was a little bit to fast. Let's see.
Centene Corp | CNC | Long at $65As a managed health care company, Centene Corp NYSE:CNC doesn't get much attention. However, it is an undervalued growth stock. It's been a workhorse historically for slow and steady financial returns with a 3%+ dividend. The biggest dips along my selected moving average have been into the blue lines - which it recently tested. While the stock may close the gap near $62 is the near future, it's a personal buy at $65.
Target 1 = $78.00
Target 2 = $95.00
CNC: bouncing from its 200-day?A price action above 73.00 supports a bullish trend direction.
Increase long exposure for a break above 76.00.
The target price is set at 79.00 (its 23.6% Fibonacci retracement level.
The stop-loss is set at 71.00 its 78.6% retracement).
The price action seems to be bouncing from its 200-dau and 200-week simple moving averages. This can support a bullish long-term trend direction.
CNC: some upside potential?A price action above 75.00 supports a bullish trend direction.
Further bullish confirmation for a break above 79.00.
The profit take is set at 82.00.
The stop-loss price is set at 75.00.
Remains above its 200-day simple moving average, confirming a bullish long-term trend.
The start of upside price momentum further supports the bullish underlying trend.
RectanglePrice is close to support.
Neutral pattern until broken.
One can calculate targets using the width of the rectangle and projecting that measure up and down from the lines of the rectangle.
Top line is at 71.66 and bottom line is at 60.83.
No recommendation.
CNC - Up Trend ReachedCNC has reached a strong up trend on this daily chart.
Possibility for the bulls to make a play here and push price up off the trendline.
It is also a region of strong horizontal support.
Centene is BullishCentene posts earnings results pre-market tomorrow
20DMA about to cross the 50DMA. Very strong bullish daily candle today closing near the highs. It's formed a clear cup & handle. Implied price target included.
Watching closely this week.
*No Position but this will have an effect on other healthcare stocks all of which had a strong day today. Humana earnings on Wednesday and Cigna next week
CNC - Falling WedgeOn the chart, we have a confirmed falling wedge, and we are therefore bullish on CNC.
We will wait for an entry at the breakout of the trend, with the expectation of a ROI of 19%
RSI is showing oversold conditions.
More details are shown on the chart.
Pull Back FishingCNC is below the neckline of what appears to be a Head and Shoulders pattern.
The 100% level of the downside from the H&S is marked and price is close to the .618 of the possible downside.
Calculated using the distance from the head to the neckline and projected down from the neckline.
Price does not always fall 100% and price can fall further than 100%. A lot depends on when the healthcare sector moves again.
Price is consolidating in a small consolidation zone which could be a bear flag. Flags are neutral until broken.
No recommendation/possible crab but price went a bit below the 1.618 of the 1st leg
This could be its endPrice is testing the broken support, there is too much resistance to the upside. This is a good moment to open a short position, I don't think this one is coming back anytime soon.
CNC At Important LevelCentene NYSE:CNC fired off a signal on this morning's open at a "50 in 50" level. The most important level is the COVID Low to All Time High 50% Retracement which for the last few weeks price has been testing. This is an important multi-year level that the stock price needs to hold to continue to retest the all time high.
To reduce the initial risk on this trade I will drill down to the swing trading timeframe price action. Here we see the last few weeks with an overshoot of the support, price recapture the major 50% level, and now do a short term 50% Retracement around that level. Holding within this range sets up for a long term bullish move off the Supports.
CNC | Oversold Healthcare Co. | LONGCentene Corporation operates as a multi-national healthcare enterprise that provides programs and services to under-insured and uninsured individuals in the United States. Its Managed Care segment offers health plan coverage to individuals through government subsidized programs, including Medicaid, the State children's health insurance program, long-term services and support, foster care, and medicare-medicaid plans, which cover dually eligible individuals, as well as aged, blind, or disabled programs. Its health plans include primary and specialty physician care, inpatient and outpatient hospital care, emergency and urgent care, prenatal care, laboratory and X-ray, home-based primary care, transportation assistance, vision care, dental care, telehealth, immunization, specialty pharmacy, therapy, social work, nurse advisory, and care coordination services, as well as prescriptions and limited over-the-counter drugs, medical equipment, and behavioral health and abuse services. This segment also offers various individual, small group, and large group commercial healthcare products to employers and directly to members. The company's Specialty Services segment provides pharmacy benefits management services; nurse advice line and after-hours support services; vision and dental services, as well as staffing services to correctional systems and other government agencies; and services to Military Health System eligible beneficiaries. This segment offers its services and products to state programs, correctional facilities, healthcare organizations, employer groups, and other commercial organizations. The company provides its services through primary and specialty care physicians, hospitals, and ancillary providers. Centene Corporation was founded in 1984 and is headquartered in St. Louis, Missouri.
CNC Ready for reversal!
It looks to be that we have a Bullish Shark pattern as well as the Cypher. Take profits for TP1 $84 and TP2 $98. As you can see the RSI has bottomed out on the daily to support this idea. Let me know what you think in the comments. Thanks!
$CNC with a Bullish outlook following its earnings #Stocks The PEAD projected a Bullish outlook for $CNC after a Positive Under reaction following its earnings release placing the stock in drift A with an expected accuracy of 72.73%.
$CNC with a Neutral outlook following its earnings #Stocks The PEAD projected a Neutral outlook for $CNC after a Negative over reaction following its earnings release placing the stock in drift B with an expected accuracy of 66.67%.
$CNC ready to break out of its ~5 month basse?Notes:
* Very strong up trend on all time frames
* Great earnings track record
* Building a base on base pattern
* Held up very well against the general market and its sector
* Recently bounced from its 50 day line
* Printed a pocket pivot with higher than average volume
* Saw a lot of demand around the 50 day line a few days ago with a strong bullish hammer
Technicals:
Sector: Healthcare - Healthcare Plans
Relative Strength vs. Sector: 1.15
Relative Strength vs. SP500: 1.1
U/D Ratio: 1.22
Base Depth: 18.61%
Distance from breakout buy point: -1.98%
Volume 39.0% above its 15 day avg.
Trade Idea:
* You can enter now as the price is still close to the 50 day line and just printed a pocket pivot
* If you want a better entry you can look for one around 86.8 as that should hold as support moving forward
* This stock usually has local tops when the price closes around 11.18% above its 50 EMA
* Consider selling into strength if the price closes 10.98% to 11.38% (or higher) above its 50 EMA
* The last closing price is 6.04% away from its 50 EMA
Centene Corp - 25% Short Opportunity? A government-sponsored health care company which looks like it's in trouble.
Is it time to short it?
Fundamental indicators:
Revenue and Profits - although revenue has been consistently growing for the past 10 years, the profits remained consistently low. Earnings (EBIT) are insufficient to safely cover interest payments on company debt
Profit margin - very low at 2% in 2021
P/E - extremely overpriced considering poor fundamentals - 31x ratio
Liabilities - debt relative to shareholder equity is rising
Technical Analysis (Elliott Waves):
This company has survived 2008 financial crisis and enjoyed explosive growth since then
However, the impulse like movement peaked in December 2018 with completion of a global wave 3 and since then it has been forming a complex Running Correction
With poor fundamentals and difficult economical situation it is very likely that wave X has completed and we are observing the development of wave Y to the downside now
There are two options for the final corrective wave - (1) a rapid impulse completing a Running Flat correction as ABC, or (2) complex form of a wave similar to wave W
The target for this wave is in the range of $64 to $57, representing 0.786x and 1x Fibonacci retracement levels against wave W
What do you think about this scenario for Centene Corp?
Please share your thoughts in the comments and like this idea if you would like to see more stocks analysed using Elliott Waves.
Thanks
31/3/2022 NYSE (CNC)Buy (Entry Price) above the black line and exit (Stop Loss) below the red line. Can take profit at the suggested Target Price.
Entry Price: $86.53
Target Price: $87.40
Stop Loss: $85.00
15/3/2022 NYSE (CNC)Buy (Entry Price) within the buy zone area and exit (Stop Loss) below the red line. Can take profit at the suggested Target Price.
Entry Price: $84.63 / $83.63
Target Price: $85.86 / $84.68
Stop Loss: $82.58
Stock Idea: CNC (weekly)Something I longed today that isn't commodity related
Base on base action and high relative strength. Exactly what you want to see in a market like this
$CNC Decent Setup in Tough Market$CNC looking pretty decent and worth watching tomorrow.
Volume pattern looks exceptional.
