Barclays: what if the shares drop below this level?
The retail bank's share price continues to struggle. Our chartist looks at the possible dangers.
18th August 2020 10:20
The retail bank's share price continues to struggle. Our chartist looks at the possible dangers.
Barclays (LSE:BARC)
It would be enjoyable to suggest a retail bank’s share price movement was severe enough to provoke a cardiac problem, confining this writer to the hospital where I have spent the last few days.
However, there has been no such movement amongst the usual culprits as they continue to play in the gutter of share prices, often trading below logical bottom levels.
For Barclays (LSE:BARC), there is an immediate issue looking dangerous as it produces an interesting ‘what if’ scenario.
What if Barclays drops below 107p? Will the price plummet down to a pretty tame sounding 105p?
This scenario is quite a big deal, visually pretty certain to bring further reversals to 101p and the edge of a problem.
If the price fails to rebound from red on the chart (we do not think it shall rebound), the visuals indicate the risk of continued reversals down to 86p and hopefully (no guarantee) a real rebound.
Barclays now needs to get above 114p before we dare become slightly breathless with anticipation. Your 'wounded soldier' is recovering and will be back writing longer pieces later this week hopefully.
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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