Encompass Health EHC Stock & Option Trade Ideas

Based on the technical data for EHC:

• The MACD crossed above the signal line indicating a bullish signal.
• The RSI is currently at a neutral level around 49, suggesting a balanced market sentiment.
• The Bollinger Bands are expanding, indicating increased volatility in the stock price.

Considering the above information, the overall outlook for EHC is bullish in the coming days.

Potential trading strategies for EHC:

• Stock Trade: Consider buying EHC stock at the current price of $86.39 with a target price of $90 and a stop-loss at $84. This trade aligns with the bullish outlook and potential upward movement in the stock.
• Call Option Trade: You may also consider buying a call option with a strike price of $87.50 and an expiration date around two to three weeks from now. This option trade benefits from the expected bullish movement in EHC’s stock price.
• Bull Put Spread: For a more conservative strategy, you could look into selling a put option with a strike price of $85 and simultaneously buying a put option with a lower strike price of $80. This strategy profits from a stable or rising stock price.

Remember to perform your own analysis and risk management before executing any trades. It’s important to stay informed about market conditions and news related to EHC to adjust your trading strategy accordingly.