Yesterday, we looked at a Keltner Channel Chart for Campbell Soup Co. and noted that it was on a pullback from being overbought.
Today’s Chart of the Day is for ChemoCentryx, Inc. (NYSE: CCXI).
ChemoCentryx, Inc., a clinical-stage biopharmaceutical company, develops new medications for inflammatory and autoimmune diseases, and cancer in the United States. The company targets the chemokine and chemoattractant systems to discover, develop, and commercialize orally-administered therapies.
Now, the Daily Price Chart below shows that CCXI has been making a series of 52-Week Highs since late November.
As investors who pay attention, we know to watch for a stock making a series of two 52-Week Highs or more. Why?
Invariably, it signals that the stock is in a very powerful uptrend.
Stocks in a price uptrend, as we know, do not advance in a straight line.
There are always price retracements along the way.
CCXI experienced periodic price pullbacks during its strong advance since late November.
Traders can get a lower risk entry point after a 3 to 5% price retracement as the stock normally resumes its price up trend after such retracements.
We’ll be sure to continue following ChemoCentryx, Inc. as it climbs to new heights, and watching for price retracements.
Editor, Chart Of The Day