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Mascoutah, Illinois | If anyone is interested in a stock play, I would buy United Health Group. Symbol (UNH)
The stock made an interday high of $30.25 on January 28, 2009.
The stock made another interday high of $30.25 on February 03, 2009.
The stock has failed everytime at the $30.00 level since February 2009 due to looming healthcare reform, a weak dollar, and rising unemployment.
REASONS FOR BUYING THE STOCK:
The dollar has found some strength recently and the December jobs report was better than expected.
On December 10, 2009 the stock broke out above $30.25 on big volume.
UNH will earn $3.10-$3.15 and if you put a 12-13 multiple on the stock you have a $36 plus stock.
My opinion is the stock will reach $38.00 in the next six to twelve months.
The stock closed today around $30.75 which means you have potential upside of 20%.
THE MOST IMPORTANT PART OF THIS TRADE IS: IF THE STOCK CLOSES BELOW $30.25, YOU SELL IT AND DON'T LOOK BACK!!!
$30.25 IS YOUR OUT!!!
YOUR RISK REWARD IS FIFTY CENTS DOWN AND $7.00 TO THE UPSIDE.
FULL DISCLOSURE: I BOUGHT THE STOCK ON MONDAY DECEMBER 14, 2009.
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Anyone looking for a stock play? (UNH)
