Sideways move for Barclays — bulls cautious as resistance holds

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Barclays slips 0.02% today

Highlights

Barclays PLC (BARC) is trading at $404.35, maintaining a bullish position above the MA-20 at $379.54, MA-50 at $376.73, and MA-200 at $330.32.
Immediate dynamic support is identified at the Ichimoku Kijun level of $379.08 with near-term resistance at $405, while Stoch RSI at 100 flags potential exhaustion.
Forecast expects Barclays to consolidate between $405.03 and $405.90, with over 80% probability of an upward move based on weekly technical indicators.

Technical boundaries tighten as bullish exhaustion and mixed momentum persist

Immediate dynamic support is seen at the Ichimoku Kijun level of $379.08, with near-term resistance around the $405 level and potentially at the MA-50. Momentum indicators are mixed: the MACD on D1 is neutral, and ADX shows no strong trend. Both RSI and CCI are in bullish or overbought territory, with Stoch RSI reading at 100 and highlighting possible exhaustion. The Bull/Bear Power points to lingering intraday buyers, while the Awesome Oscillator remains upward, all amid low intraday volatility and a trading range of $403.50–$408.45.

Upward bias maintained as consolidation prevails amid strong technical signals

For the short term, the forecast anticipates Barclays to stay between $405.03 and $405.90, with an average price near $405.46. The probability of an upward move exceeds 80% due to strong 'Buy' signals from RSI, MACD, and moving averages on the weekly chart, making a decline less likely. The baseline scenario suggests price consolidation within a tight range, though a breakout above immediate resistance could trigger further upside. A move below the Ichimoku Kijun at $379.08, however, would increase downside risk and shift sentiment to bearish.

Anton Kharitonov, expert at Traders Union, adopts a cautious stance on Barclays PLC as technical signals mostly lean bullish, but momentum indicators reveal mixed sentiment and possible exhaustion near $405 resistance. He notes that price remains resilient above significant moving averages, yet the absence of supportive market news and the overbought oscillators increase the risk of short-term consolidation or reversal. If the price falls below the Ichimoku Kijun at $379.08, downside risk would rise sharply. "Until we see a clear breakout or a decisive breach of $379 support, I remain defensive and prefer to stay on the sidelines for now."

Previously it was noted that Barclays entered into an agreement to acquire Tesco's retail banking business as the companies have also agreed to a long-term partnership focused on banking services under the Tesco brand. This transaction is expected to bring 2,800 Tesco employees to Barclays when completed in the second half of 2024.

Source of Data: BARC Price Analysis by TU

The analysis is based on a proprietary model combining technical, on-chain, and expert data. Not investment advice. See methodology

The information is based on forecasts and does not constitute investment advice or a guarantee of future results. Market conditions may change. See our Disclaimer and Editorial Integrity for details.