To The Moon

$UnitedHealth(UNH)$ 🔥📉🧠 $UNH: Bottoming or Breaking? My High-Conviction Reversal Thesis 📉🧠🔥

(As of 16May25, 🇳🇿NZST)

UnitedHealth Group ($UNH) has lost over -53% from its highs, with more than $350 billion in market cap erased.

But beneath the panic?

I see a coiled spring of mispricing, setting up one of the boldest short-squeeze reversals of the year.

Let’s break it down step-by-step 👇

📐 Technical Setup

🧮 RSI hit 11.21 on 15May25, the lowest since March 2020

📈 Williams %R is ticking up on a red day, a rare divergence that historically precedes short-term bottoming

💥 Volume surged to 59.4M+, more than 3 times the average daily turnover, confirming liquidation

Testing the 200-month moving average, a level it hasn’t broken in over two decades

🟡 Fibonacci 0.618 support at $250.50 is drawing institutional targeting

🎯 Trade Setup idea 💡 

Entry zone: $280–$300

Stop loss: below $275

Target: $454.89

Risk/Reward: approximately 4 to 1

💣 This is a loaded spring. One news catalyst could ignite a massive short squeeze.

🏦 Macro Thesis: UNH Is Built for Turbulence

While tech burns under rate pressure, $UNH thrives:

💰 P/E: 10.5 versus the healthcare sector average of around 15

🏦 Free Cash Flow: $24 billion per year

🧾 Dividend Yield: 3.2 percent, with expansion headroom

🩺 51 million members and $371 billion in revenue, fully integrated through Optum

📊 Peer Advantage:

$CVS and $CI lack vertical integration

$UNH combines insurance, analytics, and care delivery

This is infrastructure-level healthcare, currently mispriced due to panic headlines.

📰 Event-Driven Catalysts: From Chaos to Clarity

🚨 BREAKING: Political Trade Uncovered 📰🚨🗞️

On 26Mar25, Rep. Greg Landsman (House Subcommittee on Health) sold up to $50,000 of $UNH stock

DOJ launched a Medicare Advantage fraud probe just weeks later

Since his trade, $UNH has dropped 53 percent

Also unfolding:

👥 A new CEO is expected to be appointed

🕵️ DOJ actions are facing bribery allegations and political pressure

🐳 Institutions are rumoured to be preparing to acquire a 50 percent stake at a discounted valuation

This is $SMCI all over again, with the same shadow accumulation playbook.

⚠️ Risk Window: Always Know the Flip Side

DOJ probe could escalate. If $250 fails, lower support zones come into play

A heavy-volume breach below $275 would pause the long thesis in the short term

But the risk-reward ratio remains highly skewed in favour of upside

📌 Actionable Watchlist

✅ Hold above $280 = structural support confirmed

📊 RSI + Williams %R reversal = bottom signal

🧾 Monitor for 13F filings and insider activity

📰 DOJ clarification or de-escalation = potential 10 to 15 percent bounce

🟢 Accumulate between $280–$300, with a stop under $275

🧠 Why I’m Bullish 🐂🐂🐂

$UNH is not a meme stock!

It is the operating system of U.S. healthcare, currently trading at recession-level multiples

Optum alone offers vertical dominance that most of its peers can’t match

The panic is narrative-driven. The fundamentals are fully intact

This is a rare moment when technicals, fundamentals, and sentiment extremes all converge

As Warren Buffett famously said,

“Be fearful when others are greedy, and greedy when others are fearful.”

This is that moment!

📢 Don’t miss out! Like, Repost and Follow me for exclusive setups, cutting-edge trends, and insights that move markets 🚀📈

I’m obsessed with hunting down the next big movers and sharing strategies that crush it. Let’s outsmart the market and stack those gains together! 🍀

Trade like a boss! Happy trading ahead, Cheers, BC 📈🚀🍀🍀🍀

@Tiger_comments @TigerWire @TigerPicks @TigerStars @Daily_Discussion