Get Ready to Buy This Upward-Trending Stock

CinCor Pharma Inc. (NASDAQ: CINC) seems to be poised for a price surge as per its latest charts. The company engages in the development of drugs of the treatment for cardio-renal diseases. CINC is involved in developing CIN-107, which is in Phase II clinical trial for the treatment of hypertension, primary aldosteronism, and other cardio-renal diseases, as well as in Phase I clinical trial to treat chronic kidney diseases.

Bullish Indications

#1 Uptrend Channel: As you can see from the daily chart, the stock has been trading within an upward-sloping trend channel during the past few weeks. It is formed from two positive sloping trend lines drawn above and below a price series depicting resistance and support levels. This is marked in the daily chart in purple color. Currently, the stock is moving higher from the lower rail of the trend channel. This looks like a bullish sign.

CINC – Daily Chart

#2 Bullish Stoch: The %K (blue) line of stochastic has currently crossed above the %D (Orange) line and is also moving higher from oversold levels. This is a possible bullish indication.

#3 Oversold RSI: The daily chart shows that the RSI is currently near oversold levels. This indicates that a reversal may be imminent and the stock could start moving higher soon.

#4 Above Support Area: As you can see from the weekly chart, the stock has currently moved up from a resistance-turned-support level. This level is marked as a pink color dotted line.  This looks like a good area for the stock to move higher.

CINC – Weekly Chart

#5 Bullish MACD: The MACD line (blue color) is above the MACD signal line (orange color) in the weekly chart, indicating bullishness.

#6 Oversold RSI: In the weekly chart, the RSI is currently starting to move higher from oversold levels. This is a possible bullish indication.

#7 Bullish ADX: The ADX indicator shows that the +DI line is currently above the –DI line and the ADX line has moved up from below –DI and +DI lines. This indicates possible bullishness.

Recommended Trade (based on the charts)

Buy Levels: If you want to get in on this trade, you can purchase the shares of CINC above the price of around $28.60.

TP: Our target prices are $33 and $36 in the next 3-6 months.

SL: To limit risk, place stop-loss at $26.10. Note that the stop-loss is on a closing basis.

Our target potential upside is 15% to 26% in the next 3 to 6 months.

For a risk of $2.50, our target rewards are $4.40 and $7.40. This is a nearly 1:2 and 1:3 risk-reward trade.

In other words, this trade offers nearly 2x to 3x more potential upside than downside.

Risks to Consider
The stock may reverse its overall trend if it breaks down from the trend channel with a high volume. The sell-off of the stock could also be triggered in case of any negative news, overall weakness in the market, or any regulatory changes in the sector.

Happy Trading!


The Greatest Options Strategy Ever Made [sponsor]
This really is funny to me. When I describe trading options to my parents, I can see their eyes roll back in their head... To my parents and most of my friends, trading options is just way too confusing. If you think options trading is too complex, you need to have someone explain it to you simply and in plain English, that day is here. Click Here now to access the #1 options strategy for beginners.