Bitcoin

Source: CMC Markets, 13 September 2018

Will Bitcoin return to July highs of $8,482 (+32%) or fall to 2018 lows of $5,790 (-11%)?

• Prolonged downtrend, with the cryptocurrency -65% from 2018 highs.
• Several bounces this year from $5,900 support level, now trading +11% from 2018 lows.
• Technical indicators (RSI, Stochastics) are in oversold territory, but turning up higher.
• Falling highs resistance and horizontal support generating a narrowing sideways pattern.
• Trend strength (ADX) has been low since July, suggesting continuation of sideways movement.
• 100-day Moving Average and falling highs since March are creating a level of resistance around $7,250.

Pricing data sourced from Bloomberg on 13 September 2018. Please contact us for a full, up to date rundown.

Goldman Sachs (GS)

Source: CMC Markets, 13 September 2018

Will Goldman Sachs return to 2018 highs of 274p (+20%) or fall to 2018 lows of 218p (-5%)?

• Goldman Sachs shares in September downtrend (-4% in the last week), notching 11 straight days of declines to record the longest losing streak since the company started public trading in May 1999.
• Recent sell-off in the US financials (Morgan Stanley, Citibank and JP Morgan in similar downtrends) and concerns over investment banking deal flow is adding to the negative momentum. (Source: FT)
• Shares are down 17% from 2018 highs but have bounced over 4% from June-July lows.
• Shares are below 50-day, 100-day and 200-day Moving Averages, supporting current bearish sentiment. Rising lows support around $222 could provide a cushion for the shares.
• Analysts are positively biased toward Goldman Sachs shares, with only 1 broker (Berenberg) saying “Sell”. Medium-term target prices are rather bullish, with a significant 95% of brokers seeing an upside for the share price from current levels toward the $274 target.

Broker Consensus: 50% Buy, 46% Hold, 3% Sell
Bullish: Oppenheimer & Co, Outperform, Target $336, +45% (30 July 2018)
Average Target: $274.83, +20% (13 September 2018)
Bearish: Berenberg, Sell, Target $200, -14% (20 July 2018)

Pricing data sourced from Bloomberg on 13 September 2018. Please contact us for a full, up to date rundown.

Barclays (BARC)

Source: CMC Markets, 13 September 2018

Will Barclays return to 2018 high of 220p (+25%) or fall to October 2016 lows of 164p (-6%)?

• Barclays have been in a prolonged downtrend since May this year, down close to 22% from 2018 highs.
• Shares are trading at 2018 lows, with the current share price level last seen in October 2016.
• Analysts are bullish on Barclays shares, with over 88% of brokers saying either “Buy” or “Hold”.
• This is further supported by bullish outlook toward the bank’s share price, as 95% of brokers are projecting upward movement over the next several months toward an average target of 222p.
• Recent Q2 results have been broadly positive, with pre-tax profit beating market expectations and the bank remaining on track to meet medium-term financial targets.
• Barclays recently created a team of senior staff to explore trading cryptocurrencies, looking for ways to integrate “digital assets project” into its markets business, with those involved in the project believing cryptocurrencies could be a “viable asset”. (Source: DowJones Newswires, 6 August 2018)
  

Broker Consensus: 50% Buy, 38.5% Hold, 11.5% Sell
Bullish: HSBC, Buy, Target 270p, +54% (18 August 2018)
Average Target: 222.1p, +26% (13 September 2018)
Bearish: Day by Day, Sell, Target 139.28p, -21% (3 September 2018)

Pricing data sourced from Bloomberg on 13 September 2018. Please contact us for a full, up to date rundown.