• Sat. Apr 20th, 2024

CVS Health Corp: Bullish or Bleak Outlook Following Medicare Advantage Payment Rates Slip?

BySamantha Jones

Apr 3, 2024
Possible Rebound for CVS Health Stock on the Horizon

Yesterday, health insurance stocks experienced a decline due to the final Medicare Advantage (MA) payment rates that were lower than expected. This news also impacted CVS Health Corp (NYSE:CVS) stock, which saw a 7.2% drop – the largest daily percentage loss since August. Despite a modest recovery today, with shares up 0.7% at $74.37, the recent pullback has brought CVS close to its 200-day moving average, a trendline that has historically been bullish.

Those considering buying the dip may want to take note of Schaeffer’s Senior Quantitative Analyst Rocky White’s observations about CVS stock. He notes that CVS has been within one standard deviation of its 200-day moving average before, which resulted in a 3% gain on average one month later. Additionally, the stock’s 14-day relative strength index (RSI) of 29.4 suggests that it is oversold and could see a short-term bounce. Before yesterday’s drop, CVS had been on an upward trend, with only three daily losses since March 14, though overall the stock is down 5.7% since the beginning of the year.

By Samantha Jones

As a dedicated content writer at newszxcv.com, I bring a passion for storytelling and a keen eye for detail to every piece I create. With a background in journalism and a love for crafting engaging narratives, I strive to deliver informative and captivating content that resonates with our readers. Whether I'm covering breaking news or delving into in-depth features, my goal is to inform, entertain, and inspire through the power of words. Join me on this journey as we explore the ever-evolving world of news together.

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