McKesson Corp. (MCK) is trading higher Wednesday on news that the drug distributor and other parties are in talks to settle over 2,000 lawsuits brought by state and local governments over the opioid epidemic. Let's check out the charts of MCK to see if this early price strength is sustainable.
Bottom-line strategy: MCK is poised for an upside breakout on our Point and Figure chart Wednesday or perhaps Thursday. Traders need to respect this price strength and trade from the long side. Our Point and Figure price target is $182. Risk a close back below $140.