The Lloyds share price has been on several twists and turns for the past two months. The LLOY stock has declined nearly 9% since the start of August. The company’s total market capitalization currently stands at £30.79 billion.
Lloyds Banking Group has been in the spotlight in August 2021. One of the reasons is that the company welcomed its new Chief Executive Officer, Charlie Nunn. Nunn took over Lloyds a few months after Antonio Horta-Osorio, the former Chairman, moved to Credit Suisse as its new Chairman.
Nunn served as the head of wealth and personal banking at HSBC. Therefore, there is a high possibility that Nunn will steer the bank to the wealth management business which is currently dominated by companies like Barclays. The bank is also likely to make key changes in its operations.
Lloyds Banking Group was also in the limelight after it announced its plans to become one of the biggest landlords in the United Kingdom. The company plans to have bought 50,000 homes in the UK by 2030 and rent them out as a private landlord. Lloyds plans to have purchased 10,000 houses by 2025.
Its new business venture aims at providing a new source of revenue for the UK’s largest mortgage lender.
Investors will be watching the key economic numbers in the UK in September. A decline in the key economic figures will lead to a dovish BoE.
On the daily chart, the Lloyds share price has been on a descending channel for the past four months. At the time of writing, the stock was down 1.44% at 43.45p.
It is trading below the 25 and 50-day exponential moving average. It is also trading below the 50-day moving average.
Taking a closer look at the descending channel, the share price is likely to break out higher as bulls target 50.230p. On the flip side, a move below the support at 42.750p will invalidate this view.