Technical Analysis Snap: Barclays results push shares higher

3rd Aug 2009 08:53

Shares in Barclays have rallied after the bank delivered profits of £3bn for the first half of 2009, an increase of 8% on last year, although slightly under analyst expectations. There was also an increase in income, not surprising given their takeover of Lehman's business, up 37%. The shares, after initially opening below 300p, are trading near the top end of their trading range for the last six months. Since the 1st June the share price has tried and failed on three occasions, to get above the 38.2% Fibonacci retracement level of the down move from 773.26p to 47.30p at 324p. A close and break above this key resistance level could we open up further share price strength towards the 50% area of 410p. If we fail to break this level we could well see a subsequent drift lower to re-test support.There is support around the 275p area and below that at 255p, the June lows and also at 235p, the May lows. For periodic TA updates follow me on TwitterAlso read my Investors Guide to Technical Analysis and Level 2