Ubisoft Share Price Breaks Back Above Its Three Moving Averages
Following last week's spectacular rally, Ubisoft is holding its gains and continuing its upward momentum this Monday morning, within an SBF 120 index itself posting moderate gains. The stock is maintaining a notably improved technical configuration compared to previous months, even though the broader macro backdrop remains disrupted by coordinated monetary tightening.
A Stock Consolidating Above Its Three Moving Averages Following a Weekly Rebound of 3.4%
The rebound of nearly 19% accumulated last week is leaving positive traces on the chart configuration. This Monday, Ubisoft Entertain gains 1.66% to €5.40, and ranks among the strongest gainers in the SBF 120 (index up 0.73% in the session). The price is now above its three moving averages: it exceeds the 20-day MA (€5.22) by 3.37%, the 50-day MA (€5.35) by 0.86%, and the 200-day MA (€5.07) by 6.43%. This is a notable turnaround for a stock that was languishing below all these mobile benchmarks as recently as early September.
The RSI returns to 50, a midpoint position signaling neither overbought nor oversold conditions, which leaves room to the upside before reaching technical pressure zones. The next resistance to monitor is set at €5.67, representing potential upside of approximately 5% from the current price. Support remains anchored at €4.86.
Short Positions Still Elevated Despite a Decline of 1.72 Points Over One Month
The stock's bullish momentum is occurring within a context where bearish betting remains substantial. According to available disclosures, ten funds cumulatively hold 11.97% of capital sold short, a high level even though it has fallen 1.72 percentage points compared to the 13.69% recorded thirty days ago. This modest decline indicates that certain operators are covering or reducing their short positions, without this signaling a massive reversal.
Such substantial short interest (nearly 12% of the float) can amplify upward movements if position buybacks continue, but it also reflects structural distrust among part of the institutional community toward the stock, linked to the decline of more than 40% posted over one year. The gain of 3.37% over one week and 1.62% over one month marks a shift, without yet erasing this underlying trend. Analyst opinions on Ubisoft remain a reference point for assessing whether consensus revision will accompany this recovery.
