UnitedHealth Group (UNH) shares fell sharply Thursday after the health insurer reported four𒅌th-quarter results below Wall Street’s expectations and issued a lackluster outlook amid higher medical costs.

The company, which kept its 2025 outlook unchanged, said it expects a 澳洲幸运5官方开奖结果体彩网:medical cost ratio (MCR)—the percentage of premiums spent on medical care—of 86% to 87% this year. By comparison, the insurer’s MCR sat just a little over 82% in the first quarter of 2023.

UnitedHealth shares were the biggest decliners on the S&P 500 on Thursday, falling 6% to $510.59.ꦑ The stock, which is down nearly 20% from its record high set in November, is virtually unchanged from a year ago, while the S&P 500 has gained 25% in the last 12 months.

Below, we break down the 澳洲幸运5官方开奖结果体彩网:technicals on UnitedHealth’s chart and i✱dentify key price levels that investors may be watching afte🔯r the stock’s earnings-driven decline.

Sellers Reemerge at 200-Day Moving Average 

After rallying from their mid-December low, UnitedHealth shares ran into selling pressure near the 澳洲幸运5官方开奖结果体彩网:200-day moving average, with today’🐠s drop following several failed attempts by the bulls to close above the closely watched indicator.

Moreover, Thursday’s selling occurred on the highest 澳洲幸运5官方开奖结果体彩网:trading volume since the stock’🐽s sharp move lower last month, opening the door fo😼r further downside.

Amid weakening price momentum, let’s point out two key 澳洲幸运5官方开奖结果体彩网:support levels to monitor, but also identify important overhead areas worth watching if the stock breaks its current 澳洲幸运5官方开奖结果体彩网:downtrend.

Key Support Levels to Monitor

The first lower level to watch sits around $475. This location could provide significant support near a multi-month trendline that connects multiple troughs ℱon the chart between September 2023 and December last year.

A 澳洲幸运5官方开奖结果体彩网:breakdown below this important technical level could see the shares fall to the $436 area, a region where investors may look for buying opportunities to 澳洲幸运5官方开奖结果体彩网:accumulate shares near the prominent April 2024 low.

Overhead Areas to Watch

Upon a 澳洲幸运5官方开奖结果体彩网:countertrend rally in the stock, investors should firstly watch the $550 level. Investors may consider 澳洲幸运5官方开奖结果体彩网:locking in profits on a retest of this month’s high, which closely corresponds wit💖h a range of similar price points on the chart stretching back to November 2023.

A breakout above this key 澳洲幸运5官方开奖结果体彩网:resistance level could see the shares climb to around $605, an area where they may encounter selling pressure near several peaks positioned just below the stock’s 澳洲幸运5官方开奖结果体彩网:all-time high (ATH) in November last year.

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As of the date this article was written, the author does not own any of the above securities.