Lloyds Bank back in favour
It was a good week for the high street lender, clawing back some of October's losses. Independent analyst Alistair Strang consults the charts for signs the good times can continue.
20th January 2025 07:35
by Alistair Strang from Trends and Targets
Friday witnessed the FTSE 100 surge upward, exceeding our near-term targets, even managing to close 9 points above our secondary and more importantly, substantially surpassing it during the session. This gives considerable hope for the days to come and it’d be foolish to ignore some very visible potentials for the retail banking sector.
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Lloyds Banking Group (LSE:LLOY) managed to close Friday at a near-term higher high, achieving a point better than any since October of last year. As a result, there are a couple of strange looking potentials immediately available as movement on Lloyds above 59p now points at an almost confident visit to 60.7p.
At this point, we run into a problem unless the market starts to gap Lloyds's share price up at the open, as it’s difficult to pull a closing price target above 60.7p from anywhere.
In theory, share price movement above 60.7p should allow continued growth to 67.2p but, to be fair, we don’t trust the calculation as it’s got a track record of being wrong. But importantly, in the event this share price manages to somehow close a session above Blue at 63p, it enters a cycle where a long term 92p makes an awful lot of sense.
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.Â
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