After an unsuccessful 2018 run, which forced the BNP Paribas stock (EPA: BNP) to slide all the way to its 2016 lows, near the 38.00-euro mark, the share price rebounded and now continues to north. Looking at the technical picture of the of the BNP’s 4hour chart, we can see that the stock is exploding to the upside today, breaking its key resistance level, at 45.50, which held the price down through the whole month of March. We will take a positive approach and continue aiming towards higher areas, at least for a bit more.
As we can see, the buying power has picked up and the stock keeps pushing higher. The next potential target for BNP could be near the 46.55 barrier, marked by the high of November 14th, 2018. The share price might slow down its acceleration around there, or even retrace back down a bit. But if it continues to trade above the 45.50 zone, more investors could take that as a good sign and start buying again. If the 46.55 barrier fails to resist this time, a break above it may lead BNP to the 47.325 obstacle, or even a bit higher, to test the 47.78 level, which is the high of October 29th.
Taking a quick glance at our oscillators, the RSI and the MACD, both seem to be in support of the above-discussed idea. The RSI is above 50 and points to the upside. The MACD, is not only above zero and its trigger line, but also points higher.
Alternatively, if suddenly BNP Paribas stock falls below the 45.50 hurdle, the price would be back into the small neutral area, between the 43.96 and 45.50 levels. In order to start examining slightly lower zones, at least in the short run, we would like to see a break below the 43.96 level, which is marked by Wednesday’s low. This way the stock could clear the path towards the 43.03 area, a break of which might bring BNP to its medium-term upside support line, drawn from the low of January 2nd.
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