Insurance Titan Drops On Acquisition News: Here's The Trade
InTheMoneyStocks.com | Aug 22, 2018 03:08PM ET
Leading insurance giant Hartford Financial Services (NYSE:HIG) acquired The Navigators Group (NASDAQ:NAVG) Wednesday for $70 a share in cash. The total deal is worth $2.1 billion and the news sent HIG's stock lower by 4.28 percent to $50.12 a share.h3 Watch This Price/h3
Traders and investors should note that Hartford Financial's trend is down as the stock is now trading below its important 50- and 200-day moving averages, which puts it in a weak technical position. The weekly chart also indicates a bearish pattern and lower stock prices ahead. Traders must now watch $44 for major chart support. That's where the stock broke out in November 2016. If you have followed my work, you know that I like it when stocks retest from prior breakout levels. Keep that $44 area on your radar for a long-side trade in HIG – when it gets there.
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