Earnings Play: HCA Healthcare
Jason Lubin October 23, 2020 11:15 PM
Look for a breakout from the symmetrical triangle pattern.
On Monday, before market, HCA Healthcare (HCA) is anticipated to report third quarter EPS of $2.28 compared to $2.23 a year ago on revenue of approximately $13.0 billion vs. $12.7 billion last year. HCA Healthcare is one of the largest for-profit hospital operators in the U.S. and its current analyst consensus rating is 17 buys, 7 holds and 0 sells, according to Bloomberg.
Looking at a daily chart, HCA Healthcare's stock price appears to have formed a intermediate-term symmetrical triangle pattern that began to form in the early months of 2020. On a more short-term basis the company has been advancing in an uptrend since late September. Price is currently being stopped at the upper trendline of the symmetrical triangle and in the last 5 days of trading most of the candle sticks have formed short real bodies with long wicks hinting at indecision. The RSI is showing divergence as price made a slightly higher high in October than it did in early September and the RSI made a lower high. Price will likely begin a new short-term downtrend and head for 114.00. Price will probably find support at 114.00 and chop around before reaching for 101.00. On the other hand, if price can manage to get over 140.00 then it could retest the record high of roughly 152.00. If price gets above 152.00, then it could continue to rise.
Source: GAIN Capital, TradingView
This report is intended for general circulation only. It should not be construed as a recommendation, or an offer (or solicitation of an offer) to buy or sell any financial products. The information provided does not take into account your specific investment objectives, financial situation or particular needs. Before you act on any recommendation that may be contained in this report, independent advice ought to be sought from a financial adviser regarding the suitability of the investment product, taking into account your specific investment objectives, financial situation or particular needs.
StoneX Financial Pte. Ltd., may distribute reports produced by its respective foreign entities or affiliates within the StoneX group of companies or third parties pursuant to an arrangement under Regulation 32C of the Financial Advisers Regulations. Where the report is distributed to a person in Singapore who is not an accredited investor, expert investor or an institutional investor (as defined in the Securities Futures Act), StoneX Financial Pte. Ltd. accepts legal responsibility to such persons for the contents of the report only to the extent required by law. Singapore recipients should contact StoneX Financial Pte. Ltd. at 6826 9988 for matters arising from, or in connection with the report.
In the case of all other recipients of this report, to the extent permitted by applicable laws and regulations neither StoneX Financial Pte. Ltd. nor its associated companies will be responsible or liable for any loss or damage incurred arising out of, or in connection with, any use of the information contained in this report and all such liability is hereby expressly disclaimed. No representation or warranty is made, express or implied, that the content of this report is complete or accurate.
StoneX Financial Pte. Ltd. is not under any obligation to update this report.
Trading CFDs and FX on margin carries a high level of risk that may not be suitable for some investors. Consider your investment objectives, level of experience, financial resources, risk appetite and other relevant circumstances carefully. The possibility exists that you could lose some or all of your investments, including your initial deposits. If in doubt, please seek independent expert advice. Visit cityindex.com.sg for the complete Risk Disclosure Statement.