As mentioned before, Clorox ( NYSE:CLX
) has been one of those steadily rising stocks that appear to be benefiting from the Coronavirus. Logically, it makes sense that a company like Clorox would do well during a time where sanitation is of the utmost importance. It's not surprising to see that CLX
is on the rise, however, even rising stocks need to take a breather once in a while, catch their breath, and then continue on their path. Usually, I use the 8, 13, and 21 EMAs to locate potential pullback trades, however, this particular stock seems to gravitate more accurately to the lower Keltner
band before pivoting upwards. I have marked other pivot points
with white arrows that confirm CLX
has bounced in the past in relation to the lower keltner
channel band. As always past performance does not indicate future results.
I reduced the opacity on my EMAs so you can see the Keltner
channel lines more clearly, putting less strain on the eyes. Nothing like a chart full of lines to put your mind into analysis paralysis. My guess here is CLX
might find support as it has done in the past at the lower Keltner
channel and continue moving upward with its current trend. Therefore, I will flag this idea as bullish
and see what happens.