UnitedHealth's Stock Chart Needs an Electric Shock, STAT!

This is not a stock you want to play around with on the long side.
Stocks quotes in this article: UNH

Since falling in early December, we have seen shares of UnitedHealth Group (UNH) make lower highs and lower lows. It's probably the worst-performing name in the Dow Industrials for 2019 (or close to it).

With lower lows that sets up a pattern -- and that is a downtrend, the channel well-defined.

Notice the cloud is still bearish and widening, while the Moving Average Convergence Divergence (MACD) is on a sell signal.

Money flow has started to weaken and continue the trend of outflows from March. We could see UNH continue downward to the lower end of the channel, putting it near the $200 level.

This is not a stock you want to play around with on the long side, as evidenced after earnings Tuesday.

(UnitedHealth is a holding in Jim Cramer's Action Alerts PLUS member club. Want to be alerted before Jim Cramer buys or sells UNH? Learn more now.)

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TAGS: Earnings | Investing | Stocks | Technical Analysis | Trading | Healthcare | U.S. Equity

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