KMB breaks back above 20-day moving average
Kimberly-Clark Corporation (KMB) Technical Analysis Report for Jun 30, 2020 | by Techniquant Editorial Team
Moving higher for the 2nd day in a row, KMB ended the month -0.06% lower at 141.35 after gaining $1.90 (1.36%) today, slightly underperforming the S&P 500 (1.54%). The bulls were in full control today, moving the market higher throughout the whole session. Closing above Monday's high at 140.04, the share confirmed its breakout through the previous session high after trading up to $1.77 above it intraday.
Daily Candlestick Chart (KMB as at Jun 30, 2020):
Tuesday's trading range has been $2.05 (1.47%), that's below the last trading month's daily average range of $2.91. Weekly volatility is also lower, being slightly below the market's average weekly trading range. The longer-term, monthly volatility is currently slightly higher than usual for KMB.
Two candlestick patterns are matching today's price action, the Bullish Short Candle and the White Candle which are both known as bullish patterns.
The stock managed to close back above the 20-day moving average at 139.64 for the first time since June 23rd. When this moving average was crossed above the last time on June 15th, KMB gained 1.10% on the following trading day.
Although still in a long-term downtrend, the short and medium-term trends both turned bullish already.
As prices are trading close to June's high at 144.86, upside momentum could speed up should Kimberly-Clark mark new highs for the month.
Among the eight market conditions that our pattern recognition engine identified today, the statistics for the Price Action based market condition "2 Consecutive Higher Closes" stand out. Its common bullish interpretation has been confirmed for Kimberly-Clark. Out of 334 times, KMB closed higher 54.79% 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 56.29% with an average market move of 0.31%.