A few steps forward, a few steps back

These stocks are trending, but they’re also ranging. That means opportunities for both long- and short-term strategies. Especially volatile around results announcements, regulatory scrutiny and global growth issues have also played their part in moving the following shares.

Randgold Resources (RRS); Miners & Basic Materials

Where next for RRS shares?

• A play on the gold price and, ergo, US monetary policy. Will a Fed rate hike reassure markets and take some attention away from the USD?
• RRS shares are straying close to the supportive rising trend line dating back to 2008. A potential 2.5yr sideways range still presents 1000p upside if gold (currently around 5yr lows) recovers some shine.

Will shares in Randgold Resources (RRS) rally towards highs of 7750p or pull back towards 1500p?

Broker Consensus: 50% Buy, 42% Hold, 8% Sell

Average 12-month broker target price: 4549p

Barclays (BARC); Banks

Where next for BARC shares?

• UK banks all passed the BoE stress tests in late 2015, which in theory means they are well placed to survive another financial crisis. This should aid consumer confidence.
• While all UK banks should arguably be back on investors’ watch lists, the UK taxpayer does not own a stake in Barclays, leaving it relatively free of government meddling.
• UK Banks remain favourites among short-term traders.

Will shares in Barclays (BARC) rally towards highs of 340p or pull back towards 130p?

Broker Consensus: 72% Buy, 21% Hold, 7% Sell

Average 12-month broker target price: 292p

Lloyds Banking Group (LLOY); Banks

Where next for LLOY shares?

• With a potential US rate hike, financials stand to benefit. But given the luxury of choice, will investors abandon the ‘bargain’ bank LLOY due to regulatory issues that might stifle growth? Might BARC or HSBC offer better potential opportunities?
• Average 12-month target price remains some 20% above current levels while shares have had support just north of 70p for around 2-years.

Will shares in Lloyds Banking Group (LLOY) rally towards highs of 88p or pull back towards 35p?

Broker Consensus: 67% Buy, 20% Hold, 13% Sell

Average 12-month broker target price: 87p