UNITEDHEALTH GROUP INC. - UnitedHealth Group Incorporated (UNH) - 07/06/2023 (GMT)

Even though the share price of UnitedHealth Group Incorporated  (symbol ‘UNH’) has kicked off the second quarter with a strong bullish rally we witnessed a rather strong correction in mid April that is still in effect until today. The company is expected to report its earnings for the fiscal quarter ending June 2023 on Friday 14th of July, before market open. The consensus EPS for the quarter is $6.04  compared to the result for the same quarter last year of $5,57. 
 
‘Even though the company managed to recover some of its losses in the beginning of the second quarter  it still made significant losses reaching the levels of the end of the first quarter. On the financial side the company’s current ratio is at 81% as of 31/03/2023 meaning that it is not able to cover its short term liabilities with the current assets in possession while the total assets outweigh the total liabilities at a ratio of around 1,43:1 which is not the ideal ratio.’ said Antreas Themistokleous at Exness. 
 
From the technical analysis perspective the price found sufficient support on the lower band of the Bollinger bands last week and has since corrected to the upside entering a range in the last 4-5 sessions. The Stochastic oscillator is near the extreme overbought level indicating a move down might be possible in the near short term and this is reinforced by the recent cross of the 50 day moving average below the 100 day moving average. 
 
The price areas of $464,60 is a strong technical support since they consist of the 38.2% of the weekly Fibonacci retracement level while the area around $490 is a technical resistance since it is made up of the area just below the moving averages and also slightly below the 23.6% of the weekly Fibonacci retracement level.