Sticking with my pharmaceutical theme, AstraZeneca (AZN: sentiment, chart, options) announced that its profits increased to $1.11 per share, up from 95 cents per share a year earlier. Expectations called for a profit of $1.49 billion, which the company topped with its results of $1.62 billion. Sales for the quarter increased 9% to $7.96 billion from $7.27 billion a year ago. The results far outpaced expectations for sales of $7.63 billion. AZN also upped its annual core earnings view by 15 cents per share to a range of $4.60 to $4.90, thanks to a "good" operational and financial performance, along with currency benefits.

AZN added that it has 12 drugs in late-stage trials, thanks to 2 new drugs entering Phase III development. Shares of the firm are nearly 4% higher this afternoon following the news, and they are currently flirting with the round-number 50 level. A rejection at this level could signal further weakness, while a monthly finish above 50 could allow the level to act as support.