Barclays shares: latest outlook for price growth
23rd August 2021 07:51
by Alistair Strang from Trends and Targets
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Chart analyst Alistair Strang gives his view on potential for this top performing bank share.
Barclays (LSE:BARC) shares continue to confuse, their share price slowly moving up and down above a trend which has been obvious since 2013.
Presently trading at around 180p, while the visuals continue to demand that price movements dare not be taken seriously until such time the price betters 190p, movements during the last few weeks allow us to slightly moderate this trigger level.
From our perspective, even above 188.3p is now liable to trigger some 'proper' share price movement, allowing price growth to an initial 199p, with secondary, if exceeded, at a longer term 240p.
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The historical visuals on the chart suggest we should expect some hesitation at the 240p level, if only due to a series of highs back in 2017. Essentially, there's going to be a bunch of folk who've been trapped for four years, doubtless keen to retrieve their funds, and this invariably produces some selling pressure. We suspect, for the long term, this may prove an error, thanks to an underlying attraction quite a bit higher.
The alternate situation for Barclays lurks at 156p. We would have considerable alarm if the share price discovered an excuse to slump below such a level. The implications risk being truly unpleasant, calculating with an initial reversal potential of 125p, with secondary, if broken, a seriously nasty bottom at 100p.
Surprisingly, very little among the chart visuals tends to agree with these target levels and, as a result, we're inclined to relax on the reversal potential front.
Source: Trends and Targets. Past performance is not a guide to future performance.
Alistair Strang has led high-profile and "top secret" software projects since the late 1970s and won the original John Logie Baird Award for inventors and innovators. After the financial crash, he wanted to know "how it worked" with a view to mimicking existing trading formulas and predicting what was coming next. His results speak for themselves as he continually refines the methodology.
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