Can Legal & General shares make it to 300p?
The current share price is about halfway between the pre-pandemic high and the Covid crash low of 2020. Independent analyst Alistair Strang updates his charts and shares the results.
15th May 2024 07:32
by Alistair Strang from Trends and Targets
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Legal & General Group (LSE:LGEN) is a share we’ve not really had the need to discuss for almost a couple of years, but a comment on Twitter provided a sharp reminder for the reason we scan so many major shares on a daily basis in the hope of spotting an action before it happens.
Currently, L&G continues to tread its path in the valley between optimism and pessimism, seemingly unaware of movements being made across the wider FTSE 100.
In fact, the current share price is almost exactly 50% of the value between the pre-pandemic high and the pandemic drop of 2020, this despite the retail banks now showing an almost reasonable effort to make themselves interesting again.
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Perhaps it shall be the case where L&G shall prove to be a sleeper, though to be honest, aside from the usual pandemic misbehaviour, the stock has been slumbering since 2014.
Visually, the immediate situation looks quite straightforward, as L&G only need exceed 260p to hopefully start a track in the direction of 306p initially. Closure above 306p should provide a major clue for the longer term, moving the price into a region where a cycle to a future 329p calculates as possible, a new all-time high and a price level at which a distant 393p is supposed to be exerting an influence.
Should things intend to go wrong, below 230p looks difficult, capable of triggering reversal to an initial 210p with secondary, if broken, down at a visually unlikely 176p and hopefully a rebound.
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.
Alistair Strang is a freelance contributor and not a direct employee of Interactive Investor. All correspondence is with Alistair Strang, who for these purposes is deemed a third-party supplier. Buying, selling and investing in shares is not without risk. Market and company movement will affect your performance and you may get back less than you invest. Neither Alistair Strang or Interactive Investor will be responsible for any losses that may be incurred as a result of following a trading idea.
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