The Barclays share price rebounded sharply in August after hitting a multi-month low of 157.44p on July 16. The BARC stock has jumped more than 34% since the start of the year. It has also jumped nearly 19% from its lowest point in July. However, the stock is still hovering below its highest point this year at 191.10p. It has a total market capitalization of £31.1 billion.
Barclays is a British multinational universal bank that operates in key countries such as the United States and Canada. It operates as two divisions, Barclays UK and Barclays International. It is supported by a service company, Barclays Execution Services.
Barclays shares were on a strong rebound in August as investors took in the strong bank earnings from key American Banks such as Goldman Sachs and Morgan Stanley. These investment banking companies recorded strong earnings, reflecting the generally good performance in the overall industry.
Analysts also linked the company’s rally to its deal with GAP Inc. Barclays agreed to buy a $3.8 billion credit card portfolio linked to GAP as the British lender continues to expand its US consumer operation. GAP is an American worldwide clothing and accessories retailer.
The company has been aggressively expanding in recent years. In October 2020, the company acquired the AARP account from its rival JPMorgan Chase. The company has also built partnerships with companies like American Airlines, JetBlue, and New York carrier.
The four-hour chart indicates that Barclays share price has made a strong recovery in August. At the time of writing, it was trading 1.00% higher at 186.60p.
It has been trading above the 25-day and 50-day exponential moving average. It is also trading above the 50-day moving average, which is bullish.
Therefore, the BARC share price is likely to continue with its bullish outlook in September. However, a drop to the support at 170p cannot be ruled out.