Eli Lilly (LLY) Shares Soared Roughly 30% in November
Shares of Eli Lilly and Company (LLY), the world’s largest pharmaceutical producer, have experienced a remarkable rally this month.
→ The stock has climbed about 30% since ahead November.
→ In the final days of the month, Eli Lilly’s valuation surpassed the $1 trillion mark, making it the first pharmaceutical firm ever to reach such a milestone.
What is Driving Eli Lilly’s (LLY) Rise?
Much of the momentum stems from the company’s strong quarterly results released on 30 October.
→ Earnings per share beat forecasts by a wide margin ($7.02 versus $5.69).
→ Combined quarterly sales of Mounjaro, a diabetes treatment, and Zepbound, its obesity drug, exceeded $10 billion.
→ With both products performing far above expectations, management raised its revenue outlook, leading investors to anticipate an even stronger fourth quarter.
However, despite the powerful rise, the chart suggests that the rally may be nearing exhaustion.
Technical View of Eli Lilly (LLY)
For over a year, LLY’s share price had been confined to a descending channel. Extending that channel upward later than the bullish breakout following earnings shows the price now pressing against the upper limit of the expanded structure — a level often considered a natural upside target.
later than topping the psychological $1,000 mark, price momentum initially paused (1) before accelerating sharply this week (2), which may indicate a surge of FOMO and a potential climax to the November rally.
Additionally, the RSI has entered extreme overbought territory and is beginning to slope downward.
Taking all these factors into account, the stock appears increasingly exposed to a corrective move, particularly if investors begin locking in profits from long positions.
offers spreads from 0.0 pips and commissions from $1.50 per lot. Enjoy trading on MT4, MT5, TickTrader or TradingView trading platforms!
The is a dedicated mobile application designed to give traders full control of their accounts anytime, anywhere.
This article represents the opinion of the Companies operating under the FXOpen brand only. It is not to be construed as an offer, solicitation, or recommendation with respect to products and services provided by the Companies operating under the FXOpen brand, nor is it to be considered financial advice.
