Cigna "Last Call" Bull TradeMy Position
Initial Buy: 256.50
Second Buy: 259.50
Total Average: 258
Stop Loss: 256
Price Target: 278.50
Here is an example of a "Last Call" bullish entry. I am forecasting an explosive move upwards post United Health Group earnings tomorrow. This has been a laggard compared to its main peers UNH and Humana.
Entry: 261.32 (20 day moving average on the 4 hour chart which has served as consolidation support since April 5th)
Stop loss: 258.45
Price Target: 278.50
Risk to Reward: 1 : 5.99
If you move to the 4 hour chart, you can see the trading range has been getting tighter and tighter as the 20MA and 50MA moving averages converge. This signals to me a big move is coming.
Conditions on being wrong in this trade: A 4 hourly candle close below the 4HR 20MA(yellow) and failure to recapture it in the following 2 4 hr candles OR stop loss is triggered.