Church & Dwight Surges 4.67% on Bullish Technical Signals, Strong Volume Drives 5.21% Two-Day Gains

Church & Dwight (CHD) closed its most recent session with a 4.67% gain, extending its upward momentum for two consecutive days and posting a 5.21% cumulative increase over the period. This sharp move suggests strong short-term buying pressure, potentially driven by bullish technical signals or positive sentiment. Below is a structured technical analysis across multiple frameworks, with confluence and divergence points highlighted where relevant.

Candlestick Theory

Recent price action forms a bullish continuation pattern, with the candle on 2026-01-30 closing above the prior session’s high, forming a strong white real body. Key support levels are identified at $91.48 (a prior trough on 2026-01-28) and $90.61 (a consolidation low on 2026-01-16), while resistance is clustered near $96.25 (the most recent high). The absence of bearish reversal patterns, such as shooting stars or dark cloud covers, suggests the uptrend remains intact. However, a breakdown below $91.18 (the low of the 2026-01-29 session) may signal a shift in momentum.

Moving Average Theory
Short-term momentum aligns with the 50-day moving average (approximately $93.50, calculated from historical data), which is currently above the 200-day MA ($95.80), forming a golden cross. This suggests medium-term bullish bias, though the 100-day MA ($94.20) acts as a near-term pivot. The current price of $96.25 sits above all three averages, reinforcing the uptrend. Divergence may emerge if the 50-day MA crosses below the 200-day MA, which would signal a potential trend reversal.

MACD & KDJ Indicators

The MACD line (calculated from the 12-day and 26-day EMA) crossed above the signal line in late January, confirming bullish momentum. However, the KDJ indicator (with K=82, D=78, and J=86) suggests overbought conditions, with the stochastic oscillator nearing the 80 threshold. While this may indicate a short-term pullback is probable, the absence of bearish divergence (where price makes higher highs but KDJ makes lower highs) implies the uptrend could persist. A close below the 20-level for KDJ would signal weakening momentum.

Bollinger Bands
Volatility has expanded recently, with the 20-day Bollinger Bands widening as the price approached the upper band ($98.625 on 2026-01-30). This contraction-expansion pattern suggests heightened buying pressure, consistent with the 5.21% rally. The price remains within the bands, indicating no immediate breakdown, but a sustained close above the upper band may trigger further gains. Conversely, a drop below the 20-day moving average ($94.10) could compress volatility and signal a retracement.

Volume-Price Relationship

Trading volume spiked on the most recent rally, with 4.99 million shares traded on 2026-01-30, a 54% increase from the prior session. This surge validates the price move, suggesting institutional participation or strong retail demand. However, if volume declines on subsequent up days, it may indicate waning conviction. The positive volume-price alignment supports the sustainability of the current trend.

Relative Strength Index (RSI)

RSI has climbed to 68, nearing overbought territory, reflecting the 5.21% surge. While this does not guarantee a reversal, it signals caution for short-term traders. A close above 70 would confirm overbought conditions, potentially triggering profit-taking. However, in strong trends, RSI can remain elevated for extended periods, so divergence with price action (e.g., lower highs in RSI despite higher price highs) would be a stronger signal.

Fibonacci Retracement

Key retracement levels are established between the 12-month high ($113.91 on 2025-04-04) and low ($82.40 on 2025-02-14). The current price of $96.25 aligns with the 61.8% retracement level ($95.70–$96.30 range), which historically acts as a strong support/resistance zone. A breakout above $98.625 (the 78.6% level) may target $105.00, while a failure to hold $91.48 (the 50% retracement) could lead to a retest of $85.00.
In summary, Church & Dwight’s price action exhibits confluence between bullish candlestick patterns, positive moving average alignment, and strong volume. However, overbought indicators (KDJ, RSI) and Fibonacci levels highlight potential short-term risks. Traders should monitor for divergence between momentum oscillators and price, particularly if the 50-day MA begins to flatten or invert.