Barclays’ share price is hovering near its highest level since May 2018 as investors await the upcoming bank earnings season. Currently trading at 197p, the stock is up about 175% from its lowest point in 2020.

Barclays is a major global bank operating across several key sectors. Unlike other London-listed banks like NatWest and Lloyds, Barclays generates a significant portion of its revenue internationally and has a more diversified business, with a mix of consumer lending and trading activities.

This means Barclays’ share price is more sensitive to the earnings reports that kick off today with JP Morgan’s results. Other major banks set to release their earnings this week include US Bancorp, Citigroup, Morgan Stanley, and Goldman Sachs.

Although Barclays isn’t reporting its own results this week, its share price will still be closely watched due to the interconnected nature of the banking industry. Strong results from American banks could indicate that Barclays also performed well in the third quarter.

Additionally, Barclays’ share price is benefiting from rising expectations of higher interest rates in the UK. This follows Tuesday’s strong jobs report, which showed the UK’s unemployment rate dropped to 4.5% in August, with fewer people filing for unemployment claims.

With inflation expected to rise as well, there’s a growing chance the Bank of England (BOE) will raise interest rates sooner than anticipated, which would be positive for Barclays.

The daily chart shows that Barclays’ share price recently experienced a bullish breakout after moving above a key resistance level at 188p. The stock has also climbed above both the 25-day and 50-day moving averages, and the MACD indicator remains in a bullish trend.

As a result, the path of least resistance for Barclays’ share price appears to be upward, though a break-and-retest pattern could occur.