Cigna Stock Rises 1.83% to $296.98 Extending Five-Day Rally to 4.55% on Bullish Technicals

The Cigna Group (CI) shares advanced 1.83% to close at $296.98 on October 2, 2025, marking the fifth consecutive day of gains and bringing the five-day return to 4.55%. This upward momentum reflects renewed bullish sentiment after the stock tested key technical levels earlier in September.
Candlestick Theory
Cigna’s recent price action exhibits a Five White Soldiers pattern emerging from September 26 to October 2, signaling strong bullish momentum. The breakout above the $292 resistance (September high) was confirmed with increasing closes, turning this level into new support. Immediate resistance is observed at the psychological $300 barrier, followed by the year-to-date high of $308.42 (August 22). Key support lies at $286.50 (September 29–30 consolidation) and $282.80 (September 25 swing low). The absence of long wicks during the rally underscores persistent buying pressure, though proximity to all-time highs warrants monitoring for exhaustion signals.
Moving Average Theory
The 50-day moving average ($291.15) has crossed bullishly above the 100-day ($295.80) and 200-day ($296.50) averages, indicating a strengthening intermediate uptrend. Price trading above all three major averages reaffirms bullish dominance. However, the narrow gap between the 100-day and 200-day suggests potential consolidation. Sustained closes above the 200-day SMA—now acting as dynamic support—would validate the longer-term trend reversal initiated from August’s low of $256.89.
MACD & KDJ Indicators
The MACD histogram shows bullish momentum acceleration, with the MACD line (2.75) above the signal line (1.20) and both trending upward from negative territory. Concurrently, the KDJ oscillator exhibits overbought conditions (K:82, D:78, J:90), typically preceding short-term pullbacks. However, the absence of bearish divergences and alignment with the MACD uptrend suggest any retracement may be shallow. Notably, KDJ’s sustained >80 reading for three days underscores persistent bullish energy.
Bollinger Bands
Volatility expansion is evident as prices touch the upper Bollinger Band ($295.80), coinciding with the five-day rally—a sign of strong directional conviction. The 20-day band width has widened by 15% since September 25, reinforcing bullish breakout validity. A close above the upper band may trigger minor mean-reversion, but the middle band ($288.30) now provides robust support. Continued band expansion alongside upward price movement implies trend sustainability.
Volume-Price Relationship
Volume patterns validate the breakout: the rally’s two strongest sessions (October 1–2) averaged 1.74M shares, exceeding the 30-day average by 12%. This climactic volume confirms buyer conviction near resistance. However, the September 25 decline on 1.57M shares (then a 4-week high) highlighted distribution risk that was subsequently absorbed by accumulation. Divergence is absent, as volume confirms directional momentum.
Relative Strength Index (RSI)
The 14-day RSI (56) remains neutral, avoiding overbought territory despite the sharp rally. This divergence from KDJ’s overbought signal suggests the uptrend has room to extend before exhaustion. Historically, RSI >60 (August) preceded consolidation, but the current mid-range reading aligns with MACD and Bollinger Band signals of controlled momentum. Traders should monitor for RSI ascent above 60 as a sustainability gauge.
Fibonacci Retracement
Applying Fibonacci to the swing low of $256.89 (August 1) and high of $297.07 (October 2) reveals critical levels: 23.6% ($287.59), 38.2% ($281.72), and 50% ($276.98). The 23.6% retracement held as support during September’s consolidation, reinforcing bullish sentiment. Current price above all retracement levels and acceptance above the 61.8% extension ($294.50) indicate strength. A sustained close above the 78.6% level ($291) may catalyze an attempt at the $300 psychological barrier.
Confluence and Divergence
Notable confluence exists between Fibonacci support ($287.59), the 50-day moving average ($291.15), and Bollinger’s midline ($288.30), creating a high-probability demand zone. The bullish moving average crossover aligns with MACD momentum and candlestick patterns. Minor divergence arises from KDJ’s overbought signal conflicting with RSI neutrality and volume confirmation, though this may reflect short-term overextension rather than trend weakness. Overall, multiple indicators corroborate upside potential contingent on holding $292 support.