Vikram Thermo may break out from an ascending triangle above 66. It is hovering above the 60 mark in the past few sessions.
In the carnage that took place in the start of the last ten days of december it just went down till 53 from 58 levels and bounced back to the same level again. It is consolidating in the ascending triangle for 9 months. Any breakout above 66 should take the stock swiftly to 90 as it has been a long consolidation.
There is a good thread to understand the business on the company. To give you a gist it is an import substitution play in the perfumery and the pharma business. It is a manufacturer of diphenyl Oxide (DPO) and Drugcoat for pharma companies. It claims to have 80 percent market share in the pharma industry for its products.
It did take a significant capex in the year 2022 whose results are now visible in the of the past two quarters. It seems to be a good business with 25%+ OPM for the past two quarters with volumes kicking in.
The chart indicates in the past few sessions price does not want to go down. If the level of 58 sustains and a breakout happens it should be a swift move.
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