LLY- Breakout Above Persistent Resistance Opens Strong UpsideEli Lilly and CompanyBATS:LLYArthurshLLY shares jumped over 7% on Friday on strong volume after positive regulatory and policy developments. The European Medicines Agency’s Committee for Medicinal Products for Human Use backed its cancer drug Jaypirca, while the company’s popular weight-loss treatments are also expected to be included in a new Medicare program, boosting investor sentiment. With this move, the stock broke above the rising trendline of a rising wedge pattern that had acted as strong resistance four times since July 2024, consistently rejecting price on each test. A bullish breakout above the upper trendline of a rising wedge can trigger a strong move higher because it goes against the pattern’s usual bearish bias, where rising wedges often end in a breakdown. When price breaks out, short sellers can get trapped and forced to cover, while new breakout buyers step in at the same time, creating a surge in demand. If the breakout happens with strong volume (as it did), it confirms real buying pressure and can lead to fast upside acceleration, sometimes even turning into a parabolic move Price targets in a rising wedge are based on the pattern’s height projected from the breakout point. Target 1 uses the smaller height between the second top and second bottom (blue trendline), while Target 2 uses the full height from the first top to the first bottom (purple trendline). Target 1 reflects the initial move after breakout, while Target 2 represents the full measured move that usually takes longer to complete. Trade Idea- Ideally, I’m looking for a retest of the rising trendline around $1180, followed by a bounce as confirmation of support holding. Entry: ~$1180 Stop-loss: $1120 (invalidation below trendline) Target 1: $1578.79 (~+34%, R/R 6.7) Target 2: $1836.68 (~+55.6%, R/R 10.94) Clean risk/reward with strong upside if momentum continues.