The Lloyds share price jumped to the highest level since February 2020 last Friday. This was a remarkable comeback considering that the LLOY stock jumped by about 137% from its lowest level in 2020. This makes it one of the best-performing bank stocks in the past few weeks.
Lloyds and other British banks will be in the spotlight this week as more American banking groups are set to publish their results. Last week, we received results from banks like JP Morgan, Citigroup, and Wells Fargo. While Citi and Wells results were strong, JP Morgan disappointed as its costs jumped.
This week, more regional and national banks will publish their results. Some of those to watch will be Goldman Sachs, Morgan Stanley, Bank of New York Mellon, and Bank of America,
These banks have little or no overlap with Lloyds. While they have a presence in London, they don’t offer the commercial and retail services that the company offers. However, their results will provide more details about the overall banking sector.
The Lloyds share price will also react to the latest economic data from the UK. The Office of National Statistics will publish the latest jobs, inflation, and retail sales numbers. The data will provide more details about the UK economy and hints about the actions by the Bank of England.
Lloyds share price forecast
The daily chart shows that the LLOY share price has been in a strong bullish trend in the past few months. A key thing happened last week after the shares managed to move above the key resistance level at 51.55p, which was the highest point last year. It also managed to rise above the 25-day and 50-day moving averages.
Therefore, there is a likelihood that the Lloyds share price will keep rising in the near term. This rally could see it test the key resistance at 60p in the first quarter. On the flip side, a drop below the support at 50p will invalidate the bullish view.