Breakout Stock to Watch Out: This Large-Cap Stock Sees Breakout From Over One-Year Cup Pattern; Results Tomorrow
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What makes this breakout noteworthy is the price compression seen before the move. On the weekly chart, the stock recently formed a tight week pattern, which is generally viewed as a bullish setup. Such formations often indicate accumulation before a stronger move.
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On Wednesday, the Nifty 50 cooled off from higher levels but continued to trade in the green. Most sectoral indices were also trading higher, with the Nifty Pharma index gaining 1.73 per cent as of 11:03 AM.
Within the Nifty Pharma index, most constituents were trading in positive territory, except Glenmark Pharma. However, the stock that drew special attention was Lupin. Lupin share price hit a fresh 52-week high on Wednesday.
Breakout Stock: Lupin
The Lupin share price rose over 3 per cent on Wednesday, leading to a breakout from a cup pattern that had been forming for more than a year.
What makes this breakout noteworthy is the price compression seen before the move. On the weekly chart, the stock recently formed a tight week pattern, which is generally viewed as a bullish setup. Such formations often indicate accumulation before a stronger move.
The weekly RSI is placed in a strongly bullish zone and continues to move higher. At the same time, the MACD has given a positive crossover, with the MACD line moving above the signal line. This further supports the positive price structure.
Lupin is also trading above its key moving averages, which are aligned in the desired sequence. Overall, the stock has broken out of a cup pattern that was in formation for over one year. However, a stronger rise in volume would provide better confirmation of the breakout.
Lupin Q4FY26 Results And USFDA Approval In Focus
Lupin is scheduled to announce its Q4FY26 earnings on May 7. Recently, the company also announced that it has received approval from the United States Food and Drug Administration for its Abbreviated New Drug Application for Glycerol Phenylbutyrate Oral Liquid, 1.1 grams per mL.
The product is bioequivalent to the reference listed drug, Ravicti Oral Liquid, 1.1 grams per mL, of Horizon Therapeutics U.S. Holding LLC. It is indicated for the chronic management of patients with urea cycle disorders that cannot be managed by dietary protein restriction or amino acid supplementation alone.
As per IQVIA MAT December 2025 data, Glycerol Phenylbutyrate Oral Liquid, whose RLD is Ravicti, recorded product sales of USD 337 million for the year ended December 2025.
Given the technical breakout, upcoming earnings and recent USFDA approval, Lupin may remain on investors’ watchlist.
Disclaimer: The article is for informational purposes only and not investment advice.