Defensive names, like Kimberly Clark, Coca Cola, and Procter & Gamble, are great plays when growth and high beta names are being sold like hot cakes. These types of stocks do not lose much value, even when markets are volatile. Additionally, when money is flowing out of growth and beta names, it tends to flow into defensive names.
This is the situation we’re in right now. We have seen a lot of selling (distribution) among the big cap tech names like Apple, Google, Netflix, and Intel. Meanwhile, stalwarts like Kimberly Clark have risen and held onto their gains. Even during the dark month of September, this stock powered higher and performed well on solid relative strength, which carried through during the strong month of October (when almost everything went higher).
Kimberly Clark Stock Chart (NYSE: KMB)
Volume trends have been strong recently, which tells us institutional sponsorship is happening. Monday’s price candle is a nice breakout on higher volume; a follow through would confirm this upward trajectory. Overall, Kimberly Clark’s action is quite positive; not many names are reaching all-time highs in this market.
Kimberly Clark Video Chart Analysis
Take a deeper dive into the chart action on NYSE: KMB and learn how to read the technicals and analysis as Bob Lang marks up our chart of the week.
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About Kimberly Clark
Kimberly-Clark Corporation, together with its subsidiaries, manufactures and markets personal care, consumer tissue, and K-C professional products worldwide. It operates through three segments: Personal Care, Consumer Tissue, and K-C Professional. The Personal Care segment offers disposable diapers, training and youth pants, swimpants, baby wipes, feminine and incontinence care products, and other related products under the Huggies, Pull-Ups, Little Swimmers, GoodNites, DryNites, Kotex, U by Kotex, Intimus, Depend, Plenitud, Poise, and other brands.
