Kimberly-Clark (US: KMB) after its extended wave E of the expanded triangle in March 2020, the stock has been growing despite a long period of correction in April to June period. Based on the technicals, the stock will be resuming its bullish upside once again:

1. Bullish flag formation is indicative of a strong correction to the upside despite failing to clear above US$160.00 psychological resistance level 3 weeks ago. This indicate that the selling momentum wasn’t that strong.
2. The bullish hammer candle forms at the base of the flag is indicative of another potential bullish upside.
3. The stock is still trending above the 50 and 200-day moving average.

*The technical call is valid for 3 weeks only.

*Should the stock fails to break US160.00 again, then there is a good chance that the stock will reverse lower to its major support at US$149.23.

*For more detail of the expanded triangle, please refer to my report dated last year on 21^st August 2019

CHART LEGENDS

Moving average

Red dotted line = 200-day moving average

Blue dotted line = 50-day moving average