Looking at the technical picture of one of the largest French investment banking firms’ stock, Natixis (EPA: KN), we can see that it managed to move above the upper side of the short-term range, where it was trading in from around the beginning of April. That range was roughly between the 1.79 and 2.38 levels. Because of this breakout, more buyers may see some positivity in the stock’s near-term trading, hence why we will take a bullish approach, at least for now.
A further move north could bring the share price to the 2.56 hurdle, which is the low of April 1st, where KN might find temporary resistance. The stock may even drift back down a bit, however, if the price remains either above the 200 EMA on the 4-hour chart, or above the previously-mentioned 2.38 hurdle, that may help keep the positive outlook at least for a while more. Another uprise could push the stock back to the 2.56 obstacle, a break of which may clear the path to the 2.80 level, marked by the highest point of April.
Judging by our oscillators on the 4-hour chart, the RSI and the MACD, both seem to be in support of the above-mentioned scenario. The RSI is comfortably sitting above 50, while pointing higher. The MACD is also pointing north, while balancing above zero and its trigger line.
Alternatively, if the share price falls back inside the range and slides below the 2.22 hurdle, marked by the highs of May 27th and 28th, that may spook new investors from entering anytime soon. The stock could then drift to the 1.97 obstacle, a break of which may clear the path towards the lower side of the range. That area is roughly between the 1.79 and 1.86 levels.
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