KMB dominated by bulls lifting the market higher throughout the day
Kimberly-Clark Corporation (KMB) Technical Analysis Report for Mar 26, 2020 | by Techniquant Editorial Team
KMB ended Thursday at 124.01 gaining $7.65 (6.57%), slightly outperforming the S&P 500 (6.24%). The bulls were in full control today, moving the market higher throughout the whole session. Closing above Wednesday's high at 121.69, the stock confirmed its breakout through the previous session high after trading up to $2.97 above it intraday.
Daily Candlestick Chart (KMB as at Mar 26, 2020):
Thursday's trading range has been $7.98 (6.81%), that's slightly below the last trading month's daily average range of $9.31. Weekly volatility is also lower, being below the market's average weekly trading range. The longer-term, monthly volatility is currently significantly higher than usual for KMB.
One bullish candlestick pattern matches today's price action, the White Candle. The last time a White Candle showed up on March 17th, KMB actually lost -6.75% on the following trading day.
Buyers managed to take out the key technical resistance level at 121.78 (now S1), which is likely to act as support going forward. Prices are trading close to the key technical resistance level at 126.86 (R1).
Although the share is experiencing a short-term uptrend, this could just be a correction, as both the medium and long-term trends are still bearish.
Among the seven market conditions that our pattern recognition engine identified today, the statistics for the OHLC Patterns based market condition "White Candle" stand out. Its common bullish interpretation has been confirmed for Kimberly-Clark. Out of 575 times, KMB closed higher 50.09% of the time on the next trading day after the market condition occurred. The optimal exit for swing trading this condition on the long side has been after 10 trading days, showing a win rate of 54.09% with an average market move of 0.20%.