Hikma Pharmaceuticals continues its bullish trend in order to test new highest level.

The company shows strong fundamentals, displaying interesting profitability and valuation levels. The turnover is increasing regularly and the margins are significant. The consensus revised upward EPS estimates for this year. Moreover, UBS raises the security target price to GBp 2200, and that let see a great potential for the security on the stock market.

Technical patterns are in the green: prices are up for several months, following an upward trendline. The movement should continue in the coming trading sessions. The 20-day moving average should help to reach the GBp 2298 long term resistance.

Therefore, taking into account the strong fundamentals and technical patterns, it seems opportune to take a long position in case of breakout of the GBp 1970 resistance tested currently. A breakout of this level will be a new bullish signal for higher target price toward the GBp 2298 resistance. A stop loss will be placed at GBp 1885.