Encompass Health Corp

Price is consolidating around the 9- and 20-day EMAs after the mid-August blow-off top, showing small-bodied candles on low volume and no clear short-term execution edge. Medium-term structure remains bullish above the 50- and 200-day moving averages, reinforced by a Bearish Exhaustion pattern signaling sellers losing control, but clear pullback acceptance into the EMA zone is required before buying.

• ↑Q2 revenue $1.60B (+9.6% YoY), adjusted EPS $1.55 (+10.7%).
• ↑Dividend hiked to $0.21 and $1B share repurchase underscores strong FCF.
• ↓Book-to-price implies overvaluation; insider sold 173K shares.