Technical analyst sees potential in Virgin Money
This analyst sees some interesting potential for this rebranded bank. Here's what the numbers say.
26th November 2019 09:10
by Alistair Strang from Trends and Targets
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This analyst sees some interesting potential for this rebranded bank. Here's what the numbers say.
Virgin Money UK (LSE:VMUK)
This lot are a little confusing, rebranding themselves from Cydesdale & Yorkshire Bank (CYBG) to Virgin Money (LSE:VMUK).
In the process of doing so, their history has been slightly mangled and charts become meaningless. However, we've been doing some digging and notice some potentials showing.
At present, Virgin are trading around 144p with the result that above 148p should now prove capable of triggering slight recovery toward an initial 152p.
This price level is liable to prove critical for the longer term, as closure above 151p launches the share into a region where growth to an initial 161p looks extremely possible.
If exceeded, secondary is at 171p, though, to be honest, in the event of positive news & market conditions, the share price could easily surge to 194p.
A word of warning, and something surprisingly obvious from the immediate chart. If the market intends to "park" the price until the UK's trauma is resolved, it only needs to close the share price below 140p.
Below 140p and it seems there's a fair chance of reversal again to 133p. If broken, it should hopefully bottom at 127p.
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.
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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