Looking at the technical picture of the Bankinter SA stock (BME: BKT) on our daily chart, we can see that the share price is currently moving sideways, roughly between the 4.69 and 5.06 levels, marked by the lowest and the highest points of September respectively. Given the recent strong reversal higher, BKT is gradually approaching the upper side of that range. However, as long as the stock stays inside that pattern, we will remain neutral, at least for now.
If, eventually, the share price rises above the 5.06 barrier, this will force the stock out of the range, at the same time confirming a forthcoming higher high. The next stop for BKT could be the 5.21 hurdle, marked by the high of February 19th, where a temporary hold-up may occur. That said, if the buyers stay in power, they might overcome that hurdle and target the 5.43 level. That level marks the lowest point of March.
The RSI and the MACD are both pointing higher. However, the RSI is showing positive price momentum, as it sits above 50. The MACD, although it continues to run above the trigger line, remains below zero. The RSI seems to support the upside scenario, however, the MACD is more inline with the idea of waiting for a breakout first.
Alternatively, if the share price exits the range through the lower side of it, at 4.69, this would confirm a forthcoming lower low, potentially clearing the way to the 4.52 obstacle, or even to the 4.41 zone, marked by the low of July 26th. That zone could provide a temporary hold-up, or even may allow BKT to rebound somewhat. That said, if the stock stays somewhere below the lower side of the aforementioned range, the stock might slide again, as there may not be enough buyers to join in. A drop below the 4.41 area, could open the door for a move to the 4.26 level, marked by the low of July 22nd.
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