Analysis of biomagnetic fluid (blood) flow (BFD) is important due to the potential biomedical applications that have been proposed such as cell separation for magnetic devices, drug delivery using magnetic particles for the treatment of cancer tumours, hyperthermia, and the reduction of bleeding during surgeries. In this study, the effects of spatially varying magnetic field on a straight channel with an overlapping stenosis is investigated numerically using finite element method (FEM). The mathematical model of biomagnetic fluid is constructed based on the coupled study of Navier-Stokes equations with the principles of ferrohydrodynamic (FHD). While the flow in a constricted artery is considered to be Newtonian, steady, two-dimensional and isothermal. Galerkin finite element method is used to discretize the governing equations and then the source code is developed by using MATLAB software. The source code is validated, and the results is compared with the previous literature. Based on the findings, the introduction of magnetic field alters the behaviour of blood flow in the area near the magnetic source. The increment of magnetic field intensity near stenosis area causes the recirculation area downstream to become smaller. This could be seen from the velocity profile and streamline pattern of constricted artery.