UnitedHealth Group (UNH) shares will likely remain under the microscope on Monday after logging their 澳洲幸运5官方开奖结果体彩网:worst daily decline since 1998 as the healthcare giant 澳洲幸运5官方开奖结果体彩网:cut its full-year profit forecast.

The company, which cited higher-than-expected medical costs for the downward revision, has faced challenges in recent years from increasing demand for healthcare services under its government-assisted Medicare plan🌟s for aging adults and members with disabilities.

The downbeat outlook likely caught market watchers off-guard after the stock rallied toward its record high earlier this month on news the government would pay a higher rate to Medicare insurers than previously est♛imated.

UnitedHealth shares fell 22% to near $454 on Thursday, ahead of a day off from trading as U.S. markets were closed in commemoration of Good Friday. The stock is down 10% since the start of the year, in line with the 澳洲幸运5官方开奖结果体彩网:S&P 500’s decline over the same period.

Below, we take a closer look at UnitedHealth’s 澳洲幸运5官方开奖结果体彩网:weekly chart and use 澳洲幸运5官方开奖结果体彩网:technical analysis to identify crucial price levels that investors m💖ay be tracking.

Decisive Close Below 200-Week Moving Average

A recent recovery in UnitedHealth shares toward their 澳洲幸运5官方开奖结果体彩网:all-time high (ATH) ended abruptly last week, with the price staging a decisive close below the closely watched 200-week moving average. Importantly, the sell-off occurred on above-average volume, indicating conviction selling by larger market participants, such as澳洲幸运5官方开奖结果体彩网: institutional investors and hedge funds.

Moreover, the drop also thrust the 澳洲幸运5官方开奖结果体彩网:relative strength index (RSI) below the 🗹50 threshold, signaling accelerating selling momentum.

Let’s identify two crucial support levels on UnitedHealth’s chart where the shares could attract buying interest and also poin💮t out key overhead areas worth monitoring during potential upswings.

Crucial Support Levels to Watch

The first lower level to track sits around $439. The shares could encounter support in this location near the February 澳洲幸运5官方开奖结果体彩网:swing low, which also closely aligns with last year’s April trough and a minor 澳洲幸运5官方开奖结果体彩网:retracement in November 2021.

The bulls’ failure to defend this level could see the shares drop to lower support at $389. Investors would likely seek buying opportunities in this region near two troughs that formed on the chart during the stock’s strong uptrend in 2021.

Key Overhead Areas Worth Monitoring

During upswings in the stock, it’s worth monitoring the key $550 level. The shares may face considerable selling pressure in this area near several peaks on the chart stretching back to the prominent April 2022 澳洲幸运5官方开奖结果体彩网:swing high.

Finally, a rally above this region could see UnitedHealth shares retest higher levels around $606. This area on the chart would likely attract significant attention near the April high, which also lines up with a range of corresponding 澳洲幸运5官方开奖结果体彩网:price action positioned just below the stock’s record high.

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