Price bounced off the support zone and also a trendline giving us a good opportunity to enter a buy. Market retraced at the 0.63% of the Fibonacci Level given another indicator to enter for bullish and also based on the two Harmonic patterns we have on the chart (one completed and the other is forecast) they are both indicating a bullish trend (Buy).
Trade...
Nice base formation around 205 followed and a rebound from the 200-DMA with RSI nicely positioned above 50.00 levels, suggests potential for a rally to 225 levels in the short-term.
I believe that successful trading strategies rely heavily upon identifying consolidation zones. Consolidation zones provide us the right direction of the market. Consolidation happens when a market move sharply upside or downside. Later, a trader can use these consolidation zones to identify patterns, whether it be continuation or reversal.
It requires attention...
Daily chart - Breach of the rising trend line (drawn from June low and September low) adds credence to the round top pattern and bearish breakdown on the RSI.
A daily close below 219.10 (Jan 31 low) would be an icing on the cake. Doors would be opened then for a sell-off to 200.00 levels.
Raising Inflation and BoE stance on Interest Rates will change. Barclays have been clearing decks from the financial crisis and move towards a lean operational model focused on UK and US. As both central banks move towards controlling inflation, financial stocks may benefit from increased lending rates and quantitative tightening,
Barclays release the full year earnings on Thursday, there is an ascending triangle in place in anticipation of the release. Possible breakout on the long side could be tested at 267 which has been tested a couple of times before.
Barclays is one of the volume leaders today. The stock appears priced for a correction –
Bearish price RSI divergence on the 4-hour chart
Overbought on the daily chart
Stuck at weekly 100-MA
Thus, a minor pull back to 200 from the current price of 2111 appears likely.
Barclays (BARC LN) – recently Co.’s shares have taken a hit after Trump gains ground in the election polls. Yesterday shares received a lift after UK courts decided that MP’s must be involved in the invoking of article 50. This led financial names and GBP to rally as a soft Brexit may be the outcome. Taking a look at the chart we are in a technical downtrend on...
Looking for trend structure to change from down trending to up trending at around the 188 level.
Nice rejection bar 5 days ago with higher than average volume
