This pharma stock soared over 30% since May lows; hits an all-time high today

Torrent Pharma is all guns blazing as it has jumped over 30% in just 5 months to hit a fresh all-time high.

Broad-based rally by the indices on October 31 is quite evident of the boosted investors’ sentiment in the market. Most of the sectors have seen fresh interest, with includes IT, Pharma and auto. Meanwhile, the stock of Torrent Pharma jumped 3% on Monday amid strong buying interest from investors. What is more interesting is its price pattern which is quite fascinating for traders.

On the monthly technical chart, the stock has registered a breakout above its multi-month horizontal resistance. Interestingly, this breakout is supported by above-average volume. Over 4,00,000 shares have been traded in the first half of the trading session, which is the highest in the past many days. The 14-day RSI (67.45) shows strong strength in the direction of the trend. The daily MACD is in an uptrend and is seen rebounding taking support at its nine period average, which validates the positive bias in the stock. The OBV has risen in October and shows enhanced participation in the stock. Overall, the technical setup is on the long side, and we can expect some strong rallies from the stock in times to come.

This API manufacturer was a pioneer in initiating the concept of niche marketing in India and today is ranked amongst the leaders in the therapeutic segment of cardiovascular, central nervous system, and women's healthcare (WHC). It also has a significant presence in diabetology, pain management, gynaecology, oncology, and anti-infective segments. In recent quarterly results, revenue grew over 7% YoY to Rs 2291 crore in September 2022. The company expects good growth despite global economic turmoil amidst soaring inflation.

The stock has zoomed over 30% since its May low and has been the top performer amongst its peers in this period. With bullish prospects ahead, it is likely to continue its strong momentum in times to come. Currently, the torrent pharma shares are trading at Rs 1650 on NSE. Traders should keep an eye on this stock for good gains in near future.