SEQUENT: 12-Month Rectangle Breakout | Pharma Stock Explosion STRONG BUY Setup 🧬
Entry: ₹238-242 (Current Level)
Target 1: ₹246-250
Target 2: ₹254-258
Target 3: ₹265-275+ (Extended)
Stop Loss: ₹229
Technical Rationale:
MASSIVE BREAKOUT from year-long rectangle consolidation (160-230 range - blue shaded area)
Explosive +10.90% surge - strongest single-week move in chart history
Weekly chart showing powerful bullish momentum
Breakout candle with huge body - conviction move
Timer shows "1d 19h" - breakout just occurred, momentum building
Trading well above rising EMA - strong bullish reversal
RSI spiking above 80 - extreme strength (though overbought warning)
Volume at 6.98M - significant for weekly timeframe
Pharma/API sector showing renewed strength
12+ months of base building = strong foundation
Multiple resistance levels: 246, 250, 254
Clear support at breakout zone 229-230
Price action similar to Oct 2024 rally pattern
Risk-Reward: Excellent 1:3+ ratio for extended targets
Pattern: Rectangle Consolidation Breakout on WEEKLY Chart - extremely powerful setup. Year-long bases typically lead to sustained moves.
Strategy: Medium to long-term positional (weeks to months)
Book 20% at T1 (248), 20% at T2 (256), trail remaining 60% with SL at 235 after T1
Weekly breakouts require patience - don't exit too early
Key Levels:
Critical Breakout Zone: 229-230 (must hold for bullish case)
Strong Resistance: 246, 250, 254
Extended Targets: 270-280 (measured move from rectangle)
Major Support: 229, 220, 215
Timeframe: WEEKLY chart - this is a MAJOR positional setup for weeks/months, not a quick trade
Volume Analysis: 6.98M on weekly - substantial, confirms institutional participation
Sector: Pharma/Animal Health/API - Sequent is major API and animal health player
Measured Move: Rectangle height (~70 points) added to breakout = Target around 300
Historical Context:
Previous breakout attempts in late 2024 failed
This move has strongest momentum and cleanest breakout
Volume and price action suggest this time is different
Disclaimer: For educational purposes only. Not SEBI registered.
