Reckitt Benckiser Group shows a strong performance for several trading sessions.

From a fundamental viewpoint, despite a high valuation, analysts polled by Thomson Reuters have regularly revised upward the earning per share estimates. Consequently, profitability is improving, showing a relatively good financial health of the company.

Technically, prices continue to increase sharply for several month. On all time scales, all indicators are green and moving averages are well oriented. The security is now moving toward the mid-term resistance located at GBp 4926 and seems able to breakout soon. This crossing would provide a strong buy signal.

Exceeding the technical line at GBp 4926, confirmed in daily closing price, would point to ambitious upward targets. In this case, market participants could buy this stock with an initial target at GBp 5300 (crossing point of the bullish trend line). If investors reduce long-side exposure for profit-taking, a bearish trend would happen below GBp 4926, and a stop loss must be triggered.