The technical picture of the Sanofi SA stock (EPA: SAN) on our daily chart shows signs of positivity for the near-term, as the share price recently broke above a medium-term tentative downside resistance line taken from the high of November 11th. Currently, the price is flirting with the 200-day EMA, but if the stock is able to overcome it and then rise above the 82.89 barrier, that might invite more buyers into the game. For now, we will take a cautiously-bullish approach.
If, eventually, the share price rises above the 82.89 barrier, marked near the highs of January 20th and 21st, that could strengthen the bullish case, potentially opening the door for further advances. The stock could then travel to the 83.92 obstacle, or to the 86.07 zone, marked by the high of November 30th, where SAN may stall for a bit. However, if there are still new buyers joining in, the next potential target could be at 87.55, which is marked by the highest point of November.
The RSI is currently flat, but remains above 50. The MACD is pointing higher, while running above zero and its trigger line. The two oscillators are still indicating positive price momentum, which comes inline with the scenario discussed above.
Alternatively, if the stock suddenly falls back below the previously-mentioned downside line and the share price drops below the 78.88 hurdle, marked by the lows of March 9th and 10th, that might spook new buyers from the field temporarily. SAN may slide to the 77.35 obstacle, a break of which might clear the path to the 74.91 level, marked by the current lowest point of March.
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