AstraZeneca Breakout Above 10000 Could Signal Next Leg, Post Q4NSE:ASTRAZEN Breakout Above 10000 Could Signal Next Leg, Post Spectacular Q4 and FY25 Numbers. Breaking out of Rising Channel, hence selected for this Week's "Chart of the WEEK"
Price Action Analysis:
• Stock has been in a strong uptrend since May 2024, rising from around 3000 levels to current levels near 9800
• Recent price action shows consolidation between the 7500-8500 levels with multiple tests of resistance
• Current price at 9409 represents a +22.80% gain, showing strong momentum
• Volume spike visible in recent sessions at 2.75M shares vs average, indicating institutional interest
• Price structure shows a higher highs and higher lows pattern intact.
Key Support and Resistance Levels:
• Primary Support: 8000-8200 zone (previous resistance turned support)
• Secondary Support: 7500-7600 (multiple bounce zone)
• Key Resistance: 8500-8600 (red horizontal line showing multiple rejections)
• Breakout Resistance: 9000 psychological level
• Current High: 10,950 acting as immediate resistance
Base Formation and Patterns:
• Rectangle consolidation pattern formed between 7500-8500 from September 2024 to March 2025
• Bullish flag pattern visible after the breakout above 8500
• Ascending triangle formation with higher lows and flat resistance around 8500
• Volume expansion during breakout confirms pattern validity
Technical Indicators:
• Strong upward-trending channel maintained since mid-2024
• Price trading above all major moving averages
• Momentum appears to be building after the recent consolidation phase
• Volume profile shows accumulation during base formation
Trade Setup:
Entry Strategy:
• Primary Entry: On pullback to 8800-9000 support zone
• Aggressive Entry: Current market price around 9400 for momentum play
• Conservative Entry: Wait for retest of 8500 breakout level
Exit Levels:
• Target 1: 10,500 (psychological resistance)
• Target 2: 11,200 (measured move from rectangle pattern)
• Target 3: 12,000 (extension target based on trend channel)
Risk Management:
• Stop Loss: 8200 for entries around 9000 (tight stop)
• Stop Loss: 7800 for swing positions (wider stop)
• Position Size: Risk 1-2% of portfolio per trade
• Risk-Reward Ratio: Minimum 1:2 for all entries
Position Sizing Guidelines:
• For 1% risk: Calculate position size based on distance to stop loss
• Maximum exposure: 3-5% of portfolio in a single stock
• Scale in approach: 50% on initial entry, 30% on pullback, 20% on confirmation
Sectoral and Fundamental Backdrop:
Pharmaceutical Sector Overview:
• Indian pharma sector benefiting from global generic drug demand
• Regulatory approvals and US FDA compliance driving growth
• Export-oriented companies are seeing currency tailwinds
• Increased healthcare spending post-pandemic, supporting sector growth
AstraZeneca Pharma Fundamentals:
• Strong presence in oncology and respiratory segments
• Robust pipeline of innovative drugs and biosimilars
• Strategic partnerships with global pharmaceutical companies
• Consistent revenue growth and expanding market share in India
• Strong balance sheet with healthy cash flows
Market Dynamics:
• Institutional buying is visible through increased volumes
• FII interest in pharmaceutical stocks remains positive
• Sector rotation favouring defensive healthcare plays
• Government initiatives supporting pharmaceutical manufacturing
Risk Factors:
Technical Risks:
• High volatility near resistance levels
• Potential for false breakouts given extended rally
• Volume confirmation required for sustained moves
• Overbought conditions in the short term
Fundamental Risks:
• Regulatory changes in pharmaceutical pricing
• Currency fluctuation impact on export revenues
• Competition from generic drug manufacturers
• Global economic slowdown affecting healthcare spending
Market Risks:
• Overall market correction could impact individual stocks
• Sector rotation away from pharmaceuticals
• Profit booking by institutional investors
• Global pharmaceutical industry headwinds
My Take:
NSE:ASTRAZEN presents a compelling technical setup with a clear breakout above long-term resistance. The stock's strong fundamentals post Q4 and FY25, combined with favourable sector dynamics, make it an attractive investment opportunity. However, risk management remains crucial given the extended nature of the current rally. Traders should consider scaling into positions on pullbacks while maintaining strict stop-loss discipline.
Keep in the Watchlist.
NO RECO. For Buy/Sell.
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Disclaimer: "I am not a SEBI REGISTERED RESEARCH ANALYST AND INVESTMENT ADVISER."
This analysis is intended solely for informational and educational purposes and should not be interpreted as financial advice. It is advisable to consult a qualified financial advisor or conduct thorough research before making investment decisions.
Earningsanalysis
Fundamental vs Technical: AARTIINDAnother fundamental vs technical scenario.
On breakout of 729 price-level, AARTI IND is set to rally till 772-783 as upside targets.
On brea of 710 support, prices will drop till 683-678.50 range as S2 (or T1 for the short side trade entry) and 625 as S3 (T2).
Prices in spot.
GRWRHITECH - 3 Months Downtrend Breakout Garware Hi Tech Films Ltd
1) Time Frame - Daily.
2) The Stock has been in a Downtrend since (February, 2024). Now It has given a Downtrend / Consolidation breakout & Closed with good volume & good bullish momentum candle in Daily Time Frame.
3) The next resistance would be it's Previous Life Time High (2200 - 6.25% from the price 2070.30). If the stock gives another breakout at (2200) It may move higher and find resistance around (2680 - 29.45% from the price 2070.30).
4) Stock with good fundamentals.
5) Recommendation - Strong Buy
INVESTMENT PICK ASTRAL NSE:ASTRAL \
This is a positional trade
The stock is daily resistances zone ones it breaks there will a great upside move
The first target is 1980 and final target is 2100
We should accumulated around 1650 .
The company has posted a good quarterly result.
This is for educational purpose
Cipla Earnings special analysis | #LetsMakeMoneyTogetherMy fav symmetrical triangle breakout ... upper trendline been tested many times and is clean meaning no gap ups above the line and coming down back into the zone of triangle .... a closing above the line on 15m or u can watch for a good risk at 5 min too depends on your RR ratio and RM system. Take the trade as per
Happy trading :)
Long LT Foods on minor correctionsDaawat looks promising price strength-wise and earnings wise. i will be looking to initiate a position on corrections of 10/15%
Technical: Daawat has clocked the highest monthly volume since Jan 2018 and it's up 50% in June 2020. Makes the case to look at it for a trade
Fundamental:
This stock shows decent sales and profit growth.
3 years of sales growth - 9.6%
3 years of profit growth - 9.2%
Margins at a higher level of 11%, If the margins sustain or go higher we can see higher profits and further price appreciation
TTM earnings are up 45%
If there are no earnings surprise in the next quarter, we can expect it to go up by 50-60%
ITC Earning season 25 May / Short trade @ 200 ITC in a breakout positon
Earning is on 25th may
1. 7%+ rally before earning season
2. divergence on money flow
3. resistance on 190-193 level (Technical analysis)
4. Resisitance as per option chain data is at 200.
Option chain data
Resistance strike 200 call - 33.5 lakh OI
Support at strike 180 put - 14.8 lakh oI
Bear looks more powerfull here.
Trade plan
Short
if stock price reaches 200 short SL 205 TGT1 190 TGT2 180
if stock price crosses 190 short SL 195 TGT1 180
Long
if stock price crosses 200 long SL 195 TGT
LONG ON BHARTIARTL(NSE)This analysis is only for educational purposes, Invest at your own risk!
A narrowing Uptrend can be seen on BHARTIARTL which closed at 554.10 INR on Friday.
The price has approached close to resistance level and gives a pretty good long opportunity for traders .
The High created on 15th April at 535.30 INR serves as a resistance level for the price .
The stick is also approaching its 52 Week high and also has earnings coming out on Monday (18th May).
Getting into a long position at 554.10-555.00 INR and selling at a profit of 1.15-1.20% i.e around 563-565 INR may prove to be profitable.
The ON BALANCE VOLUME indicator also shows us an uptrend making our decision even more strong.
ALL THE BEST TO EVERYONE !
Cheers!
CIPLA BUY SL564/ TGT 583 /sell below 564 tgt downside 520Cipla in a breakout position, just before its earning day, we are currently trading near support of gap up we had in start of April. If it breaks 564 Cipla can touch 520 on downside or if it stays above 564 tgt 583.
One can trail stop loss using 20 day hull moving avg.