Bullish on Kimberly-Clark
From the high of $72.79 (U.S.) in 2007 (A), Kimberly-Clark declined to a low of $43.05 (B); had a sharp rise to $67.03 (C) and then stayed in a trading range between $59 and $67 (C-D). This price action produced a bullish technical pattern known as a V-Extended (dashed lines). A sustained rise above $68-69 would signal the breakout from this pattern and the start of a new up-leg. Only a decline below $64-$65 would be negative.
Point & Figure measurements provide targets of $79 and $84. The V-Extended formation (see dashed lines) supports higher targets.
Ron Meisels is a contributor to the www.NA-marketletter.com website. Monica Rizk is the senior Technical Analyst for Phases & Cycles Inc. They may hold shares in companies profiled. Please see the site for a glossary.
Chart source: www.decisionplus.com