The bearish pattern on shares of UnitedHealth (UNH) foreshadowed the stock falling by 8% last week. Sellers sent the stock down from the $554.70 high since last Dec. 2023.
On April 1, Medicare Advantage plans will get just a 3.7% in payment increase in 2025. UNH fell along with CVS Health (CVS), Elevance Health (ELV), and Centene (CNC). Humana (HUM) fell the most, losing 9.94% last week.
UNH has rebound potential at today’s price. HUM stock looks compelling at $300.
In the software sector, Autodesk (ADSK) fell after the firm initiated a probe into its own accounting practices. The stock is a better buy as valuations improve at lower prices.
In the drug manufacturing sector, AbbVie (ABBV)’s revised guidance hurt the stock. The chart indicated a bearish double top at around $182. Its revenue revision merely adjusts the timing of costs and revenue. The news has no impact on AbbVie’s long-term prospects.
Novo Nordisk (NVO) and GSK (GSK) also fell recently, albeit on no news. Pfizer (PFE), however, is about to re-test a double bottom at $26. Among the drug stocks, AbbVie is the most attractive. It has a strong pipeline and a long-term growth plan.
