Kimberly Clark (NYSE: KMB) Long Term Technical Analysis March 2017

KMB Long-term outlook

Downgrade from Societe Generale come after the share of KMB outperforming the market and move near its record high. Successful reorganization earlier than target put KMB back into an advantage. The only analyst who maintains buy rating on the stock is Goldman Sachs, and they might change the rating to hold.

Currently, there is 1 buy rating, 10 hold rating and 1 sell rating for the stock. The growing trend on hold rating might influence the share price and limit upside movement.

Click here to see KMB February 2017 analysis

New Month

Monthly chart

The healthy uptrend in the KMB as it continues moving inside the bullish channel. At the current level, there is nothing to expect from a long position. The bearish position might be enticing, but better avoid taking a short position under strong momentum shown by KMB.

Weekly chart

Similar to the monthly chart, the blue horizontal line or the record high $138.87 is the nearest resistance for KMB to break. When the price reached this record high, it might form a bearish pattern and reverse the uptrend. However, there is a possibility for a momentum bar pushing above the resistance formed.

Daily chart

There is triangle formation on the daily chart which was broken upside. Currently, the price is testing the broken triangle trendline. If the price manages to bounce from the trend line, traders could expect KMB move up and challenge the record high.

Trade plan

Long position needs to wait for a break above $138.87 and bounce from it after re-test.

Short position bests taken when the price form bearish pattern near the $138.87 resistance.

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