Not sure what the fundamental story may be, but it looks like we could be looking at a limited shelf life for Procter & Gamble (PG) and Unilever N.V. (UN) in the months ahead.
Though the price of PG bottomed out in August/September (chart above), it was a very small bottom. The recovery rally has only managed to bring prices to the underside of what should be a three-month resistance area (former support) between May-July from the upper-70s to lower-80s. The On-Balance-Volume (OBV) line has shown only minor improvement from its September low. Prices are above the rising 50-day moving average, but the slope of the important 200-day average is still pointed down.
In this chart of Unilever N.V., above, we see what might be a double top at the $46 level in August and October. Prices of UN have crisscrossed the 50-day and 200-day moving averages, and the OBV line has been neutral the past eight weeks. The Moving Average Convergence Divergence oscillator could soon cross below the zero line, signaling a downtrend. A decline below $42.50 would be a new low for the recent move down on UN and this might tip the scales to the downside.