In today’s Super Seasonals: Trade of the Week we will look at Quest Diagnostics, Inc. (DGX).
Quest Diagnostics, Inc. engages in the provision of diagnostic testing, information and services. It operates through the Diagnostic Information Services (DIS) and All Other segments. The DIS segment offers diagnostic information services to patients, clinicians, hospitals, health plans, and employers. The All Other segment consists of risk assessment services, healthcare information technology, diagnostic products, and clinical trials testing businesses.
Recent headlines for Quest Diagnostics…One of the “World’s Most Admired Companies”
Below is a snippet of the seasonal stats for Quest Diagnostics Inc. Also, a daily time frame chart, that shows the stock is currently in a bearish position, technically speaking. Is the stock oversold? Is it a good value buy? Could there be more downside pressure? Could there be an accumulation breakout buy soon? Unfortunately, this could be a long conversation to form the appropriate hypothesis, and I’m not in the position to be giving specific trading advice as one-size does not fit all traders’ risk tolerance or styles.
Over the past 5-10 years the stock has closed up 100% of the time over the given seasonal time period. 90% of the time the stock has had 10%+ High Point moves during the given period.
A look at the Cumulative Chart shows that a strong seasonal period clearly sticks out as relevant, historically speaking.
If we look at the Week by Week snippet, the coming weeks look very good as well.
As you likely know, there are literally dozens of solid ways to approach trading Quest Diagnostics, Inc. (DGX) with a bullish bias. The decision of how to best invest in the stock or trade the options is an individualized decision, unfortunately there is no one best way. Keep in mind that seasonality is about probabilities, not certainties. Please remember, do your homework, and fully understand the risk before trading anything.
To learn more about seasonal information on Quest Diagnostics, Inc. (DGX) and other solid seasonal opportunities click here SuperSeasonals.
Trade Smart,
Chad Shirley
